Frozen Chelsea proceeds of Roman Abramovich reach £2.5bn with interest
Chelsea FC sale proceeds frozen in a UK bank account have generated millions of pounds in interest amid ongoing disputes.
Funds from Roman Abramovich's 2022 sale of Chelsea FC, frozen in the UK, have earned at least £175 million in interest according to new accounts. This brings the total sum to approximately £2.5 billion, while legal disputes and scrutiny over the distribution of the money continue.
Growth of Sale Proceeds
Accounts belonging to Fordstam, the company through which Roman Abramovich owned the club, revealed that the proceeds from the sale completed in May 2022 have grown from £2.3 billion to nearly £2.5 billion.
Interest Earnings and Expert Commentary
The funds have rapidly accumulated interest in a Barclays bank account, generating approximately £63 million in the previous year and £114 million in 2024. A football finance expert noted that this situation has turned the company into the most profitable football business in the world.
Dispute with the UK Government
The Russian billionaire had committed to donating the funds to victims of the war in Ukraine. However, the funds have not yet been released due to legal disputes with the UK government over how the money will be used.
Loans and Legal Uncertainties
It remains unclear whether £1.4 billion in loans belonging to the oligarch's network of offshore companies used to finance the club will be deducted from the final donation amount. This raises questions over whether the entire donation or just the profits will be given.
Jersey Investigation and Sanctions
Jersey authorities are conducting a separate criminal investigation examining the initial source of the oligarch's wealth and the sale of Sibneft. Furthermore, it is not legally possible for the money to be repaid without an OFSI license.