United Russia, Vladimir Putin’s party, and Dmitry Medvedev, the former president of Russia, are raising the issue of nationalizing foreign companies that have ceased operations in the country in recent days.
American companies such as Boeing, Microsoft, Apple or Ford, as well as some European companies such as Ikea or Swatch and some French companies such as Hermès or the Michelin guide… Every day, the list of companies temporarily out of business in Russia is increasing.
The government has considered options for dealing with these foreign companies, which either boycott the country that is waging war in Ukraine or fear for their safety on the ground. Thus, the first scenario provides for an accelerated bankruptcy procedure with permanent closure and dismissal of employees. The second provides for at least a temporary transfer of shares to local investors.
But voices are beginning to be heard in Moscow urging the government to go further. This is the case of Andrei Turchak, one of the leaders of United Russia, Vladimir Putin’s party, which is pushing for the nationalization of incriminated companies.
“Such actions by Western companies are nothing more than deliberate bankruptcy (…),” the secretary of the General Council of the Russian Government Party assures on the website of United Russia. “United Russia” proposes to nationalize the production of companies, announcing its withdrawal and the closure of production in Russia in connection with a special operation in Ukraine.
The political leader calls the sanctions against Russia a “war against Russian citizens.”
“We will not look at it differently,” he assures, before threatening: “We will take harsh retaliatory measures, acting according to the laws of war.”
Ghost reminiscent of the USSR
The government did not plan, according to a Russian newspaper Kommersantlegislative initiative in this direction.
However, this threat is increasingly waving in power circles close to the Kremlin.
“We are going to seize the assets of foreigners and foreign companies in Russia, depending on what this or that country has imposed as anti-Russian sanctions,” warned Dmitry Medvedev, the former president of Russia and now deputy chairman of the Russian Security Council. country in the pro-Kremlin daily Vzglyad, quoted by Courrier International. It is possible that we will nationalize the property of citizens of unfriendly countries.”
A ghost that will remind of the first hours of the existence of the USSR and which can lead to supply disruptions, especially in energy.
“The effect of the nationalization for companies based in Russia will be felt primarily on disruptive operations, according to La Croix Philippe Methe, business lawyer at Bryan Cave Leighton Paisner. The impact is likely to be greater than the loss of assets. .”
