Sanctions targets allowed up to £1 million of frozen funds to pay Jersey legal bills

Russian oligarchs and others facing sanctions can now access up to £1 million of their Jersey-based funds to pay outstanding bills to local lawyers.

The island's External Relations Minister has issued a new 'general licence', which allows legal firms who have represented clients facing international sanctions to be paid more easily.

While people linked to the regimes in Russia have had their financial assets in Jersey frozen since the country invaded Ukraine in February, they have still been able to get legal advice or representation - but have not been able to pay their bills without an individual licence from the Minister.

Deputy Philip Ozouf's new 'general licence' replaces that, and will remain in force until at least 27 April 2023.

His department says it has been introduced following a "substantial increase" in the number of people requesting a licence to pay outstanding legal fees they owe.

Legal firms who took on work for clients before sanctions were imposed on them can claim up to £500,000, plus another £500,000 for any work done after the sanctions were imposed if they can provide evidence of the work carried out.

Jersey's External Relations Department says the amount "reflects the potentially costly nature of sanctions-related legal work" and will be enough to cover legitimate requests, while still restricting access to financial assets in line with the international sanctions.

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