Russian bank seeks to lift EU restrictive measures

VTB Bank PAO has appealed a July 2014 European Council decision and regulation imposing restrictive measures on Russia because of its actions in Ukraine.  In addition to the transfer of technology and arms, the measures prohibit the provision of financing or investment in certain instruments issued by state-owned Russian financial institutions. VTB is named in Annex III of the regulation, which makes the prohibitions applicable to transactions with major Russian credit or other institutions with over 50% public ownership or control in Russia.  VTB’s appeal, filed on November 23, 2018 and published in the Official Journal of the European Union on March 11, 2019, seeks to reverse the European General Court’s 13 September 2019 decision upholding the sanctions.  The Bank argues that the restrictive measures should not be applied to it because they represent a disproportionate interference with VTB’s rights and that their application to VTB is not appropriate and proportionate in view of the objectives of the measures. 

VTB appeal