HELSINKI (Reuters) – Finland is looking at ways to take control of Helsinki’s biggest sports and events arena which has been shut since last year because of sanctions against its billionaire Russian owners.
Authorities in the capital city estimate that up to 400 million euros ($420 million) of income per year is being lost for hotels, restaurants and other businesses while the arena stands idle.
Billionaire Gennady Timchenko, who has interests in Russian energy companies, and Roman Rotenberg, scion of the powerful Rotenberg family, control the venue that was previously the prime stage for Finland’s favourite sport ice hockey.
A spokesperson for Timchenko declined to comment, while Rotenberg did not immediately respond to a request for comment.
Finland, which joined the NATO military alliance in April in response to neighbouring Russia’s invasion of Ukraine, is a firm supporter of European Union sanctions but hopes an exception can be made to allow it to take control of the arena.
It is also considering options to expropriate the venue if the Russian tycoons refuse to sell their stakes voluntarily, Finland’s foreign and justice ministries said.
All Timchenko’s holdings in the EU have been frozen, while Roman Rotenberg is the target of U.S. sanctions issued against his father Boris and uncle Arkadiy and their families for their close ties with Russian President Vladimir Putin.
Helsinki mayor Juhana Vartiainen said the city hoped the Russian owners would voluntarily sell out.
“We are aware that active negotiations to sell the hall are ongoing and we hope that the transaction would proceed as quickly as possible, in order to get the hall back to the use of Helsinkians,” Vartiainen told Reuters by email.
Several bidders have expressed an interest in buying the arena, but under the current situation any sale price would be frozen by Finland’s bailiff authority until the sanctions are one day lifted, Finland’s foreign ministry said.
The EU’s current sanction rules do not include expropriation of frozen assets, which could complicate that option, it added.
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Source: Economy - investing.com
