UK extends sanctions licence for Russian-owned Amsterdam Trade Bank until 2030
The UK’s Office of Financial Sanctions Implementation (‘OFSI’) has extended its general licence for Amsterdam Trade Bank NV (‘ATB’) for an additional five years, allowing bankruptcy trustees to continue winding down the sanctioned Russian-owned financial institution until 2030.
The amended licence, originally issued in 2022 following Russia’s invasion of Ukraine, permits limited transactions with ATB – a majority-owned subsidiary of sanctioned Russian lender Alfa-Bank JSC – to facilitate the bank’s insolvency proceedings, basic needs payments, and the orderly winding down of business relationships.
The licence, which had expired, is now valid until May 12 May 2030.
The extension enables court-appointed bankruptcy trustees Mr JEPA van Hooff and Ms DD Nijkamp to continue their statutory functions in managing ATB’s insolvency, allowing for the payment of staff, taxes, and suppliers, while also permitting counterparties to wind down transactions with the bank, OFSI said.
The extended timeframe reflects the complex nature of unwinding the operations of a financial institution caught in the crosshairs of international sanctions against Russia. The licence maintains strict conditions, including notification requirements to HM Treasury within seven days of making the first payment, and record-keeping obligations for a minimum of six years.
While the permit provides exemptions from certain prohibitions in the Russia Regulations, it specifically states that ‘no funds or economic resources shall be made available to or for the benefit of a person designated under the Russia Regulations except as permitted under this licence’.
The amendment comes as the UK continues to balance strict enforcement of its Russia sanctions regime with provisions for the orderly resolution of affected businesses, particularly in the financial sector where insolvency proceedings may span many years.
