Case T-340/14 Andriy Klyuyev v Council

On 5 March 2014, the Council froze the funds and economic resources of persons identified as being responsible for the misappropriation of Ukrainian State funds. Mr Klyuyev was one of these individuals. The General Court has annulled the freezing of funds for Mr Klyuyev for the period 6 March 2014 until 5 March 2015, on the basis that the Council did not have any detail of the specific acts that Mr Klyuyev was alleged to have committed.

The General Court upheld the freezing of funds for the period 6 March 2015 until 6 March 2016. In a significant legal development, the Court accepted the submissions made by Mr Klyuyev that the listing criterion must be interpreted restrictively, so as not to cover any act classifiable as misappropriation of public funds, but only those acts which are such to undermine the legal and institutional foundations of Ukraine. Such an interpretation was required in order for the listing criterion to be compatible and proportionate to the relevant objectives of the EU Treaty. Notwithstanding this, the General Court considered that there was sufficient evidence to justify the freezing of funds in this second period.

Brian Kennelly QC and Jason Pobjoy acted for Mr Klyuyev. Brian and Jason have extensive expertise in challenging and advising on EU and international asset-freezing sanctions, and are currently representing more than 25 individuals and entities in over a dozen challenges to asset-freezing regimes before the General Court of the EU and the Court of Justice.