According to a decree signed by Russian President Vladimir Putin on Tuesday, Moscow is taking temporary control of the Russian assets of two foreign energy firms, which signals similar actions could be taken against other companies.
Outlining possible retaliation if Russian assets abroad are seized, the decree showed Moscow had already taken action against Uniper SE's Russian division and the holdings of Finland's Fortum Oyj.
The decree said Russia needed to take urgent measures to respond to unspecified actions from the United States and others it said were "unfriendly and contrary to international law."
The decree said that Rosimushchestvo, the federal government property agency, had temporarily controlled the shares in the two entities.
In February, U.S. Treasury Secretary Janet Yellen said Russia should bear the costs of damage caused by its war on Ukraine, adding that there were "significant legal obstacles" to confiscating major frozen Russian assets.
On Monday, the state-owned bank Bank VTB PAO CEO said Russia should consider taking over and managing the assets of foreign companies such as Fortum, only returning them when sanctions are lifted.
Rosimushchestvo said more foreign firms could find their assets under temporary Russian control, TASS reported. The agency would ensure the assets were run on their importance to the economy.
"The decree does not concern ownership issues and does not deprive owners of their assets. External management is temporary in nature and means the original owner no longer has the right to make management decisions," TASS cited the agency as saying.
Last October, European Council President Charles Michel said the EU considered using Russian assets frozen under sanctions against Moscow towards rebuilding Ukraine.
Asset sales by investors from "unfriendly" countries – as Moscow terms those that imposed sanctions against Russia following its invasion of Ukraine – require approval from a government commission and, in some cases, the president.
In February, Uniper valued its majority stake in Russian division Unipro at a symbolic 1 euro to reflect the likely chance a planned sale to a Russian buyer would fall through. In addition, Fortum had already warned shareholders there was a risk its Russian assets could be confiscated.
