Repurposing Russian Assets to Rebuild Ukraine

Layla Moran Excerpts

Tuesday 27th June 2023 Commons Chamber

[Layla Moran (Oxford West and Abingdon) (LD)]

None of us will forget waking up nearly 18 months ago to the most dreadful scenes—images of war—happening on our doorstep in Europe. The people of Ukraine have endured the most unimaginable hardships in the last year and a half. I add my voice and that of the Liberal Democrats to today’s messages of solidarity with the Ukrainian people. We have not forgotten them, and we will continue to stand with them.

I also extend my thanks to the people of the UK. We must all be proud of the support that we have seen in this country. The British public have shown their deep generosity over the last year, opening their doors to Ukrainians. Over 2,000 Ukrainian guests have arrived in my home county of Oxfordshire—the fourth highest of any local authority in England. I opened my door to them, and it was a wonderful experience that I would highly recommend to anyone.

That war is not over, and it is vital that we do not rest on our laurels while Putin and his cronies continue to wage unimaginable destruction. We have known since the beginning that the best way to hit Putin where it hurts is through the wealth and assets of his cronies. We know that he funnels money through his oligarchs, which they squirrel away in property, superyachts and shell companies. They also hide it in far less glamourous places.

It was recently reported in Private Eye that the developers behind Botley West Solar Farm in Oxfordshire are potentially backed by dubious Russian money. Botley West would be the largest solar farm in Europe, sited on Blenheim Palace and Merton College land. The company behind it, Photovolt Development Partners, is registered in Germany but owned by Cyprus company Cranssetta Investments Ltd. The sole shareholder is a Yulia Lezhen.

A New York court case last year revealed that Yulia Lezhen’s husband, Dmitry Glukhov, was the primary beneficial owner of a goldfield development company that borrowed $58 million from Uralsib bank. The litigating company said that there was never any goldfield to be found. It looked for infrastructure, but did not find it. It alleged that the company was, in fact, a front to syphon off assets. It further said that it was not the only one, and that there were dozens of such companies, of which Photovolt—about to build to Botley West—was one. I ask the Minister: how can we know that Russian money is not still being greenwashed through our economy here in the UK? I would welcome a meeting with him or Treasury Ministers to get to the bottom of where the money is coming from.

Further historical questions remain for the Government about the money, most notably golden visas. A review of them was promised five years ago. The Government finally delivered a, frankly, pathetic statement a few months ago. I continue to challenge them to release the full report. If they have nothing to hide, they have nothing to fear. The cross-party work that we did in this place on the Economic Crime (Transparency and Enforcement) Act 2022 has been some of the most valuable work I have done in Parliament. It was a real opportunity to ensure that we are able to better fight kleptocracy and economic crime, not just in this case but in others in future.

It is not enough that we have seized Russian assets; it is time that we send those assets to where they will make the most difference. As we have heard, the estimated bill for post-war construction is in the order of $400 billion. The Ukraine recovery conference last week made an important start to those discussions. I welcome the UK’s part and our pledges. But the real prize is that $400 billion: all the assets we know exist that we could send. We are still unclear on what is stopping the Government from doing it. All I would say to the Minister is this: we have done it before and we can do it again. Where there is a will in this House, we can pass legislation quickly to help the Government. I urge them to come up not just with warm words, but a plan for how they will repurpose the assets and get them to where they are needed before it is too late. If we do not start rebuilding Ukraine now, morale will dip and that itself will affect the war effort.

The leader of the Liberal Democrats’ sister party Holos, Kira Rudik, said:

“This is the way we will ensure justice for all and will give a clear signal to other tyrannies about what consequences await them in case of encroachment on other people’s property.”

The Liberal Democrats continue to be proud to stand shoulder to shoulder against tyranny and will stand with Ukraine until it is victorious. When the Ukrainians are victorious, we will not walk away and leave them to pick up the pieces, or indeed the bill, alone.