A proposal to transfer Roman Abramovich’s £2.34bn Chelsea sale fund to Israel rather than Ukraine was mooted in the wake of the Hamas terror attack, Telegraph Sport has revealed.
Britain is understood to have turned down the high-level proposal because ministers believed it was a move by the sanctioned oligarch to avoid condemnation in Russia.
Abramovich first promised income for “all Ukrainian war victims” after putting Chelsea up for sale on March 2 last year, eight days before he faced sanctions for alleged links to Vladimir Putin.
However, since the huge funds in the account, which were frozen due to the UK-European insistence on spending this money only within the borders of Ukraine, remain untouched, alternative offers for its assets have been put forward privately.
Sources close to the talks offer opposing views on whether the idea of spending the money in Israel was put forward by Abramovich himself or by the country to which he was granted citizenship in 2018.
A person familiar with Britain’s position says Moscow’s possible disapproval explains why the fund remains in limbo in a frozen London bank account after 18 months. One insider said of the current impasse: “Abramovich does not want Russia to be humiliated for spending its money in Ukraine.” In addition to increasing the possibility of using the money for humanitarian purposes in Israel after October 7, Abramovich allegedly also put on the table the option of helping victims of the February earthquake in Turkey, with which Abramovich has recent connections.
Other sources say that the talks were led by Israel, but they claim that Abramovich had no knowledge. Another person close to the talks said, “There is no such official request.”
The person, speaking on condition of anonymity, added: “I know that the Israelis have asked the UK during state visits, because Roman is such a big donor in Israel, if they would consider licensing not just Chelsea but any assets of his own.” will be donated for reconstruction.”
The funds were to be allocated for expenditures for humanitarian purposes in southern Israel. “My understanding is that the UK Government has said a definite no to Israel,” the source said.
Before sanctions were imposed last year, Abramovich’s ties with Israel were growing closer. One of the projects signed before Russia’s war against Ukraine was the financing of a forest in southern Israel dedicated to Lithuanian Jews who were victims of the Holocaust.
Reports in Lithuania are sporadic, but it is known that Abramovich’s parents and relatives came from that country but were exiled to Siberia during the Soviet invasion in 1941.
Largest single humanitarian donation in history
The sudden proposal to use Chelsea funds for purposes unrelated to Ukraine shows how far the government is from signing the largest humanitarian donation in history.
Although the sale of the club was entirely within the UK’s jurisdiction, ministers signed a unilateral declaration with the European Commission in May stating that the money would be spent “exclusively” in Ukraine. The move stunned the humanitarian sector when former Unicef UK chief executive Mike Penrose was appointed to create an independent foundation on the basis that it would be spent on “Ukraine and its consequences”.
Penrose took legal action to ensure the money did not end up in Abramovich’s hands. The government will receive the board’s input, and veteran Norwegian diplomat Jan Egeland, who once advised Kofi Annan at the United Nations, has been appointed interim president.
However, Lord Cameron’s recent appointment as Foreign Secretary has led to renewed efforts to release funds in line with Penrose’s foundation plan. “The unilateral declaration can be withdrawn at any time,” Penrose said. “This is a former Prime Minister who has strengthened Britain’s position in terms of humanitarian work. Their past partnerships have made Britain arguably the leading humanitarian nation on the planet. “I look forward to speaking with him when he returns from his first trips and I am very hopeful that he will have the vision to make this work.”
The call was backed by James Deneslow, head of Save the Children’s conflict team, who told Telegraph Sport: “When a new Secretary of State comes into office, we will continue to advocate for this large amount of sanctioned money to be used to support the terrorist attack in Ukraine.” human consequences of war.
“As we have stated before, funds must be released and made available to all victims of the war in Ukraine – whether within Ukraine’s geographical borders, supporting Ukrainian refugees in Europe, or financing food programs in East Africa, where food insecurity is widespread let it be. “It got worse with the war.”
The license issued by the UK government, which determines the next stage in this process, expires on November 30. This license has been extended by mutual agreement in the past and is likely to be extended once again.
Penrose said he had not yet met directly with Cameron since his appointment as Foreign Secretary, but said a meeting would be held in the coming weeks.
The disagreement over the foundation’s aims dates back to before the sale of Chelsea to a consortium led by American businessman Todd Boehly was completed on May 30 last year. Sources close to the process said Abramovich signed a memorandum of commitment with the Government stating that the aid would be for “Ukraine and Ukraine’s results.”
However, the Government stated in a unilateral declaration last year: “The Treasury will issue a license providing for the use in Ukraine of such revenues exclusively for humanitarian purposes.” Saleh Saeed of the Disaster Emergency Committee also supported Penrose’s stance that the humanitarian need extends beyond Ukraine’s borders.
Kate Cavalier, 44, who has been hosting a Ukrainian family at her home in England for 15 months, also called on Cameron to intervene.
While the government has rejected any suggestion that it was hogging the money, multiple sources told Telegraph Sport they believed the deal from the start was to spend the money only within Ukraine. A person with knowledge of the talks said they thought Cameron was unlikely to adopt a new government position, insisting that “this money was always for Ukraine”.