An Amsterdam court has prohibited the Dutch bank ING from closing the accounts of the subsidiary of the Russian energy giant Gazprom, until it opens an account at another bank in Europe, despite the risks of sanctions and reputational damage invoked by the bank due to the connections between Gazprom and the Russian state.
The court’s decision comes at the end of a trial initiated by Gazprom International Projects, a company registered in the Netherlands that is part of the Russian group Gazprom International, whose account at ING is the only means of payment of the Russian group in Europe, reports the EFE and Agerpres news agencies on Tuesday.
ING informed Gazprom in December 2023 of its intention to cease offering banking services to it, considering the sanctions imposed by the European Union (EU) on Russia following the invasion of Ukraine in 2022. Since then, the Dutch bank has granted several extensions for Gazprom to open an account at another financial institution, the latest until October 1, 2026.
Nevertheless, Gazprom maintained that 15 banks, both within and outside the EU, have refused to open an account for it and warned that closing the accounts at ING will prevent it from fulfilling its payment obligations, including tax obligations to the Dutch and British authorities, as well as wages and payments for contracted services.
In turn, ING argued that, although Gazprom International Projects branch is not targeted by European sanctions, its ties with a company controlled by the Russian state and its activities in the energy sector represent risks that require constant and costly monitoring.
Details, HERE