VTB Loses Bid to Recover £205 million From Defunct UK Arm (1)

VTB Bank, Russia’s second largest lender, failed in its legal bid to recover £205 million ($274 million) from its defunct UK arm.

Lawyers for the lender, first sanctioned by the UK in 2022, argued that the government unlawfully changed certain sanctions-related rules for the administration of VTB’s UK unit earlier this year. The decision had a “catastrophic” impact by erasing all its claims for money from the London arm.

Lawyers for the administrators at Teneo Inc, that has taken over running the company, and the government denied the allegations and defended the decision. The bank has claim to about £205 ...