Around $3 billion from the football club’s sale remains in limbo because Jersey began to probe the source of the funds
A UK offshore tax haven is blocking Russian tycoon Roman Abramovich’s attempt to hand the proceeds from the sale of the Chelsea football club to Ukraine, the Daily Telegraph reports, citing sources.
Following the escalation of the Ukraine conflict in 2022, the UK sanctioned Abramovich – who had owned Chelsea for 20 years – while in the Channel island of Jersey, a probe was launched into the origins of the Russian tycoon’s wealth.
Jersey’s Royal Court imposed a freezing order on £5.3 billion ($7 billion) in assets linked to Abramovich, the report said. The move also blocked £2.35 billion from the 2022 sale of Chelsea, money the tycoon had reportedly intended to direct toward aid for victims of the Ukraine conflict on both sides.
The funds remain frozen in a UK bank account pending a Foreign Office license for their release. Due to sanctions, Abramovich cannot access the money but retains legal ownership, meaning he must approve any distribution.
According to the outlet, Jersey initially treated Abramovich as a criminal suspect, but later documents show that raids on his properties were carried out unlawfully. His lawyers argued that officials deleted key data during the probe, a claim that emerged after they compelled the authorities to release internal communications about the case.
The Jersey court has recently sided with Abramovich, ordering the government to pay his legal costs and condemning its conduct as “extreme,” the report said.
A spokesperson for the businessman called the attorney general’s move “illegitimate” and “politically motivated,” arguing that it was driven by a desire to bolster Jersey’s image as a financial hub amid growing sensitivities over Russian money. He noted the irony of a government that once welcomed Abramovich’s “clean” funds now coming under scrutiny for its own actions.
The UK operates is own offshore tax-havens under crown protection, helping wealthy individuals and multinationals avoid higher taxes in their home countries.
