Monday 14th November 2022

(2 years ago)

Commons Chamber
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Janet Daby Portrait Janet Daby (Lewisham East) (Lab)
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I thank the Minister for giving way so early in his speech. My constituent offered to host a Ukrainian family under the Homes for Ukraine scheme, so it is unacceptable that, three months later, that Ukrainian family are still in Turkey waiting to have their application processed by the Home Office. Will he speak to his colleagues in the Home Office about looking at that case? I am sure that is not the only one in which the Home Office is taking a long time to process refugees’ applications—

Baroness Laing of Elderslie Portrait Madam Deputy Speaker (Dame Eleanor Laing)
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Order. That is a very long intervention. If the hon. Lady wants to make a speech, she has every opportunity to do so.

James Heappey Portrait James Heappey
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In my experience, applications from constituents have been dealt with—after an initial run of concern—reasonably well. The hon. Lady has raised the point, however, and I will make sure to draw the attention of Home Office Ministers to the record of this debate, so that they can get in touch to discuss whatever concerns she has on behalf of her constituents.

Since the start of the invasion, Russia has shown scant regard for human life, but since 31 October, it has sought to deliberately target civilians. Let us be clear: there is no military purpose in launching missile strikes at hydroelectric dams or in targeting the six-reactor civilian Zaporizhzhia nuclear power plant, which is the largest of its kind in Europe. Indeed, this latest escalation has only had a minor military effect. The reality is that such attacks are only a further illustration of Russian weakness. We know that its forces are being pushed back, we know it has lost more than 25,000 soldiers, with many more injured, and we know its capability is vanishing fast, with almost 3,000 tanks, 4,000 smaller vehicles and more than 5,500 armed troop carriers wiped out.

--- Later in debate ---
Jonathan Djanogly Portrait Mr Djanogly
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I accept that it is a subject we could go into in some degree, but I would make the point that of those Russians who have been leaving Russia and going to places like Armenia, Georgia or the more than 250,000 who have gone to Turkey, it is by no means proven that they are anti-Putin. In fact, a lot of research says they are going to those countries because either they want to pursue their business activities, which sanctions prevent, or they do not want to be called up on the reserve list, not because they do not like President Putin.

What I am suggesting is that at some point citizens and leaders need to take collective responsibility for the actions of the state and the armed forces that operate in their name. For Russians, I would argue that that time has long passed. If we agree that there should be collective responsibility, we can make the moral case for collective sanctions—economic and travel. Travel restrictions, like those implemented by six EU states, are a more practical way of reinforcing the message of collective responsibility than economic sanctions, which mainly apply only to wealthier people.

As the situation stands, at the end of the war, whenever that may be or indeed before, assets that have been frozen, across the west and other areas of the globe, will be reclaimed by their owners, including here in the United Kingdom. The public, including many constituents in Huntingdon who I have corresponded with about the situation in Ukraine, naturally assume that a frozen superyacht owned by a sanctioned individual will be sold, with the proceeds used for reconstruction. We are talking about some £18 billion of frozen assets, not including real estate, in the UK alone. That is not, alas, currently the case. If the situation is not remedied, an embarrassing political situation, not to mention a morally dubious one, beckons.

Ministers should be prepared to consider, working with our allies, how frozen assets can be legally seized, sold and the revenue put to work for Ukraine’s rebuilding. The World Bank’s assessment made in September is that Ukraine will need $349 billion for recovery and reconstruction. It is worth saying that it is not just a question of law changes, but adopting a more aggressive attitude within the existing system. For instance, when the FBI boarded Mr Kerimov’s yacht Amadea in Fiji, it looks like the United States used the oligarch’s maintenance of the yacht as a criminal breach of sanctions, thereby allowing confiscation. We could and should be more assertive than we are.

As for possible law changes to facilitate confiscation, the first is a revisiting of the Trading with the Enemy Act 1939. During the second world war, that Act allowed the Government of the day to confiscate assets owned by residents of enemy countries in British territories. It focuses squarely on the assets of any person or organisation of countries with which the United Kingdom is at war. Thankfully, there has not been much cause to review it since 1945. An amendment to the definition of war, however, could provide a valuable basis for considering how Russian assets could be seized for the benefit of Ukraine and its reconstruction.

Secondly, Canada’s Budget Implementation Act 2022, which was passed in June, includes amendments that allow for the forfeiture of property that is subject to a seizure or restraint order under the Special Economic Measures Act 1992 and the Justice for Victims of Corrupt Foreign Officials Act (Sergei Magnitsky Law) 2017. That is done under both regimes using forfeiture orders, allowing the relevant Canadian Government Minister to apply to a court to forfeit assets that have already been seized or frozen. A number of safeguards are rightly built into the legislation. For instance, any person who appears to have an interest in the property may be heard by the relevant court.

A further possible avenue that I wish to highlight is one proposed by the Washington DC-based New Lines Institute for Strategy and Policy, which formulated a multilateral action model on reparations. In the model, the institute draws 13 convincing conclusions that lay the basis for an international, effective and legal reparations and compensation scheme. The model builds on the relatively recent and practical example of the Kuwait compensation fund, which, together with the UN compensation commission, paid some $52 billion in compensation to 1.5 million claimants over 30 years following the Iraqi invasion in 1990. The establishment of the fund and commission was possible only due to the agreement of those nations with a permanent seat at the UN Security Council. Unfortunately, as Russia is an aggressor in the case of Ukraine, that exact road map cannot be followed. The institute therefore makes the argument for working through the UN General Assembly rather than the Security Council.

The avenues that I have highlighted are but a number that are worthy of wider consideration—there are others. It is crucial, however, that the conversation surrounding compensation and reparations now begins in earnest, because just to continue saying, “This is only Putin’s war” is no longer relevant or morally sustainable.

Baroness Laing of Elderslie Portrait Madam Deputy Speaker (Dame Eleanor Laing)
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I call the Scottish National party spokesman, Martin Docherty-Hughes.