In a move that could be pulled straight from a movie, German prosecutors are allegedly gearing up to seize a jaw-dropping $790 million from the coffers of Russian financial group, National Settlement Depository – NSD – according to reports from Reuters.
The potential seizure is an upping of the ante as far as the Germans are concerned. They’ve previously frozen Russian assets in response to the war in Ukraine, but this would be the first seizure.
National Settlement Depository (NSD) in the Crosshairs
Unconfirmed rumors swirl, pointing to none other than the Russian finance house National Settlement Depository (NSD), the financial linchpin owned by Moscow Exchange (MOEX.MM), the major shareholder of which is the Central Bank of the Russian Federation. The NSD, a silent powerhouse in Russia's financial arena, now faces a German offensive, leaving financial tongues wagging. There’s been nothing but silence from NSD and Moscow Exchange to date.
Financial Warfare: EU Sanctions and a Rejected Withdrawal
But why the move? According to reports, it appears that the NSD had demanded that the EU recognized that sanctions imposed upon it were illegal and that they pay for any legal costs incurred as a result of the sanctions. Unidentified officials from the institution — again, allegedly NSD — also sought to withdraw 720 million euros from their Frankfurt bank account. However, the move was promptly rebuffed.
As a result of all this, German prosecutors are now filing for "independent confiscation proceedings."
Geopolitics at Play?
German Justice Minister Marco Buschmann took center stage on social media platform X, proclaiming, "We will not allow Russian money, with which the illegal attack on Ukraine is being financed, to remain unchecked in German accounts."
The question remains: How will Germany use its seized fortune? Will it contribute to Ukraine's reconstruction, or is this just a financial jab with geopolitical undertones?
