27th Meeting of the Task Force Freeze and Seize: Opening Remarks by Justice Commissioner, Didier Reynders
Good morning Ladies and Gentlemen,
Welcome to the 27th meeting of the Freeze and Seize Task Force.
This meeting takes places in a moment of transition in Brussels.
The end of a political cycle and the beginning of a new one offers an opportunity to pause and reflect on what we have achieved together and what lies ahead of us.
I remember our first meeting.
Back then, we were called to work together to address an unprecedented situation in the recent history of Europe, the illegal invasion of a sovereign country.
None of us knew how long the war would last.
But we all knew that no time could be lost.
History was knocking at our doors. Europe had to play its part.
I am proud to say that, in the last two years, your work, our work has significantly contributed to the response of the international community to Russia’s aggression.
This has been achieved through different and complementary work strands.
Enforcement of EU sanctions
First, on the enforcement of EU sanctions.
Since its very beginning, the Task Force had as its main goal supporting national authorities in the implementation of EU sanctions, notably asset freezes.
The EU has so far adopted 14 packages of sanctions. More than 27 billion euros of private assets have been frozen and 210 billion euros of sovereign assets immobilised in the Union. I must mention here and thank High Representative Borrell, Commissioner McGuinness and their teams for all the work that has made this possible.
In that context, the Task Force has played an important role in increasing synergies between national authorities, and between national authorities and the Commission.
From the very beginning of our activities, we have reached out to the justice, law enforcement and sanctions communities in the Member States, convinced that only a combined approach can make the sanctions and their implementation more effective. And we were pleased to learn that this has allowed you to better work with your colleagues within your own system.
In the same way, through the Task Force, the different services of the Commission have been regularly in touch with all of you to address questions and challenges – such as those related to beneficial ownership – in a much more coordinated and swifter way compared to the past.
We have all soon realised that the unprecedent situation we were asked to face, and are still facing, cannot be handled with a silo approach.
And this has delivered concrete results on the ground in terms of better and more consistent enforcement of sanctions in the EU.
Sanctions have had an impact on Russia’s ability to wage war, as well as on its economy.
Russia would not need to repair its tanks with parts from washing machines if it had been free to trade with the EU with no limitations!
Several initiatives aimed at reinforcing the implementation of sanctions have been launched in the last few years. You discussed some of these already in the previous meetings.
For instance, in the subgroup led by Commissioner Gentiloni, national tax authorities have been carrying out a stock-taking process whereby they report to the Commission listed persons appearing in their national tax databases.
I could also mention Operation Oscar, in the context of the subgroup led by Commissioner Johansson. This Operation led by Europol, and in which Eurojust also participated, supported financial investigations by Member States and, in this way, helped to freeze more than 2 billion euros of assets linked to individuals and entities subject to sanctions.
This gives me the opportunity to thank our Justice and Home affairs Agencies as well as the EPPO, for their excellent work in the framework of our activities. I know you will hear more from them later today.
Another milestone I have to mention here is the adoption of the Directives on the violation of Union restrictive measures and on asset recovery and confiscation.
One of the reasons behind the establishment of the Task Force was to explore the interplay between sanctions and criminal law, notably whether the latter could play a role in the enforcement of the former.
The Directive on violation of sanctions is a perfect example of how the two fields can be combined to ensure a more effective functioning of EU rules and measures.
The Commission attaches great importance to its swift implementation. At the beginning of June, I addressed a letter to the Ministers of Justice of each Member State to draw attention to the Directive’s swift implementation.
I am therefore pleased to see you all here today to take forward the discussions on this important matter.
The use of Russian assets
A second strand of this work, which has been discussed in the Task Force, concerns the use of the Russian assets immobilised in the EU.
We have come a long way since our first option paper, in which we identified potential ways to make use of these assets and the revenues they generate.
The acts implementing the windfall contribution model were adopted earlier this year.
The first instalment of EUR 1.5 billion was made available to Ukraine in the summer.
Our reflections on the matter continue. Less than two weeks ago, the Commission proposed the use of these proceeds to repay Extraordinary Revenue Accelerated Loans for Ukraine. This follows up on the agreement found by G7 Leaders at the Apulia Summit of mid-June.
The Commission counts now on the Member States to ensure that these proposals can be swiftly adopted. In this way, we could provide more, quicker – and much needed – support to Ukraine and its people.
The discussions on the loans are just one example of the importance of working together with our international partners.
“No man is an island”, an old saying goes. The Union neither, let alone on matters which are transnational by their very nature and implications.
And on that aspect as well, the Task Force has played its part.
Representatives of around ten international partners have participated in our meetings, to share their experience and expertise.
We learnt from the Ukrainian authorities the latest trends on sanctions’ violation cases.
We discussed with the US and the UK voluntary self-disclosure of sanctions violations, which then found its way in our sanction legislation.
We exchanged with Canada on their legislation on the forfeiture of frozen assets.
I could go on mentioning Japan, Norway, Switzerland, and others.
And on several occasions, in the margins of or following a meeting of the Task Force, “operational dots” could be connected on specific cases between European and third countries’ authorities.
As summarised by a participant in an event on the illicit transfer of technologies I attended last week in the margins of the UN General Assembly, at the end this is about “Who is running faster? Those trying to break the restrictive measures we put in place or us together?”.
It is clear that the international dimension of this work will need to continue to be developed. The Task Force is called to play a major role in that respect by further facilitating the exchange of operational information, knowledge and best practices.
Conclusion
Colleagues, Ladies and Gentlemen,
Karim Khan, the ICC Prosecutor, has said that “out of the darkness and suffering we have witnessed in Ukraine, the international community has consistently found new ways of working”.
This Task Force is one of these new ways of working.
It shows the tangible benefits of working together – within the EU institutions, with and amongst Member States, with our international partners.
This is of course important for the Task Force’s specific mission: ensuring the efficient implementation of EU sanctions, and in particular asset freezes.
But you work is more than a response to those needs.
It’s part of a broader commitment and action in support of an international rules-based order and accountability.
It translates into reality our solidarity and unity in the face of war.
That’s also why I want to thank you today for your engagement and work over the past two years.
I wish you a fruitful meeting.
Source – EU Commission