Israel vows country won’t become safe haven for sanctioned Russian oligarchs

Israel’s Foreign Minister Yair Lapid said today in Bratislava that Russia won’t be able to circumvent Western sanctions through Israel. Speaking at a joint press conference with his Slovakian counterpart Ivan Korcok, Lapid said, “Israel will not be a route to bypass sanctions imposed on Russia by the United States and other Western countries. The Foreign Affairs Ministry is coordinating the issue together with partners including the Bank of Israel, the Finance Ministry, the Economy Ministry, the Airports Authority, the Energy Ministry and others.”

Israel has so far refused to join Western sanctions against Russia, primarily out of unwillingness to directly confront Moscow, with whom it maintains dialogue and cooperation channels over Syria. There is also Jewish Russian oligarchs to consider. Several of them hold Israeli in addition to Russian citizenship and hold property in the country.

Some experts claim that Israel does not have the legal tools to impose such sanctions. Unlike other Western countries, Israel did not make changes to its legislation after the Russian annexation of Crimea in 2014 to enable sanctions. Still, Israel has changed its monetary policies in accordance with OECD standards, making it more difficult for oligarchs to transfer their banking activities to Israel. It is unclear yet if Israel intends to tighten its control over such accounts.

Jerusalem has reportedly decided to discretely monitor the entry of private jets and yachts belonging to oligarchs so Israel won’t become a haven from Western sanctions. Lapid warned his fellow ministers Feb. 28 not to provide assistance to Jewish Russian billionaires who have been hit by international sanctions. He was quoted as saying, “You have to be very careful because those guys have connections and they can call you on the phone and ask you for things.”