Czech courts uphold freeze on 61 Russian-owned properties amid sanctions dispute

The Russian enterprise that owns dozens of properties across the Czech Republic has again been denied relief by the courts. Following an unsuccessful complaint in July over a blocked bank account and a Prague-Bubenčice property, the latest ruling concerns 61 assets located in Prague, Brno, Karlovy Vary, Vlkanice and Jevany. The Financial Analytical Office classified these holdings as economic resources managed by the Enterprise for Foreign Asset Management, a classification.

In its cassation appeal, the company argued it did not directly manage the properties, but the Supreme Administrative Court held that demonstrating any legal or factual ability to influence the assets satisfies the sanctions law, noting that requiring detailed proof for each property would defeat the purpose of the regime. The sanctions, introduced by the government of former prime minister Petra Fialy in November 2023 over concerns the firm financially supports the Russian government, have already led to frozen bank accounts and property registrations, with diplomatic premises exempt. The company continues to face multiple lawsuits over individual frozen assets, none of which have succeeded so far.