Roman Abramovich has taken decisive action in response to Keir Starmer's legal threats regarding the £2.4 billion raised from the sale of Chelsea Football Club. The Russian billionaire is proceeding with plans to establish a new charitable foundation without seeking government permission, directly challenging the UK administration's stance on the frozen funds.
Foundation Application Submitted This Week
An application for the creation of the Foundation for Victims of Conflict will be formally submitted to the Charity Commission this week. This move comes despite the government's previous statements about pursuing legal measures to unlock over £2 billion currently frozen in a Fordstam Ltd bank account. The funds were frozen following sanctions imposed on Abramovich after Vladimir Putin's invasion of Ukraine.
Government vs. Abramovich: A Clash of Intentions
The stalemate centers on the intended recipients of the substantial proceeds. The government insists that beneficiaries should exclusively be victims of the war in Ukraine, while Abramovich maintains that "all victims" of conflict should benefit from the foundation's work. This fundamental disagreement opens the possibility for Russians to receive payouts from the foundation, creating significant political tension.
Abramovich's legal representatives have characterized the government's approach as treating the proposed donation "as a form of punitive measure." A spokesman for Abramovich told The Times: "Our understanding is that a foundation is in the process of being registered, which we welcome. Mr. Abramovich maintains his intention to donate funds to humanitarian causes once the relevant legal obstacles are resolved."
Experienced Leadership for New Foundation
The foundation will be managed by former Unicef executive Mike Penrose, who confirmed the submission plans. Penrose stated: "I can confirm that I am preparing a submission to the Charity Commission to register a new foundation dedicated to supporting victims of conflict worldwide. I am confident in the strength of the board I have assembled, which brings together individuals with significant experience in humanitarian work across the globe."
Penrose further explained: "The application will be submitted this week. The foundation's objectives are aligned with those set out in the deed of undertaking, and we are hopeful that, once the relevant legal matters are resolved, the foundation will be in a position to receive a donation."
Additional Legal Challenges in Jersey
Beyond the Chelsea sale proceeds dispute, Abramovich faces additional legal obstacles in Jersey, where he is seeking to recover more than £5 billion in frozen assets. The Russian businessman continues to deny allegations that he is an ally of Vladimir Putin, maintaining his distance from the Russian president despite the sanctions imposed against him.
Last month, a government official expressed frustration with Abramovich's approach: "We gave Roman Abramovich his last chance to do the right thing. Once again, he has failed to make the donation he committed to. We will now take further steps to ensure that the promise he made at the time of the Chelsea sale is kept."
The situation represents a significant test of wills between the UK government and one of the world's most prominent businessmen, with billions of pounds hanging in the balance as both sides pursue their conflicting visions for how the Chelsea sale proceeds should be distributed to humanitarian causes.
