Seizure of Russian Oligarchs' Superyachts Worth 2.7 Trillion Won in Europe... Maintenance Challenges

by Jeong Hyunjin

Published 05 Apr.2022 14:37(KST)

Updated 09 Mar.2023 12:36(KST)

[Image source=EPA Yonhap News]

[Asia Economy Reporter Jeong Hyunjin] More than 40 days after the invasion of Ukraine began, the value of superyachts owned by Russian oligarchs seized due to sanctions imposed by Western countries such as the United States and Europe has reached approximately 3 trillion won.

On the 4th (local time), Bloomberg reported that 13 superyachts belonging to Russian oligarchs have been detained since Russia's invasion of Ukraine in February, with an estimated total value of $2.25 billion (about 2.7 trillion won). The currently seized yachts are located in Italy, Spain, Germany, France, and the United Kingdom.

The most valuable seized superyacht is "Dilbar," owned by Russian steel magnate Alisher Usmanov, valued at over $600 million. This yacht is currently docked in Hamburg, Germany. In addition, yachts belonging to Russian oligarchs close to President Vladimir Putin, such as Andrey Melnichenko and Igor Sechin, have also been seized.

Additional news of yacht seizures came on the same day. A luxury yacht owned by Russian billionaire Viktor Vekselberg was seized in Spain. Spanish authorities, in cooperation with the U.S. Federal Bureau of Investigation (FBI), announced that they confiscated the vessel "Tango," valued at 90 million euros (about 120 billion won), at Palma harbor on Mallorca Island. It was also reported that the yacht of Roman Abramovich, the Russian oil magnate and owner of Chelsea Football Club, departed from a Turkish port before being seized that day.

As high-end yachts are seized like this, problems related to maintenance difficulties have also emerged. Since yachts require professional management, companies usually handle their upkeep, but it is unclear who should be billed for these costs. A representative from a French yacht management company told foreign media, "We are preparing the invoices, but we do not know to whom they should be sent."