London Daily

Focus on the big picture.

Abramovich sanctions halt Chelsea sale

Abramovich sanctions halt Chelsea sale

Roman Abramovich's attempt to sell Chelsea has been halted after the oligarch was sanctioned by the UK government as part of its response to Russia's invasion of Ukraine.

The Russian put the European champions up for sale after the threat of sanctions was raised in Parliament.

The freezing of Abramovich's assets, which include Chelsea, means the club cannot sell further match tickets.

The move is intended to stop Abramovich making money from Chelsea.

The government has issued a special licence that will allow fixtures to be fulfilled, staff to be paid and existing ticket-holders to attend matches.

Chelsea have said they "intend to engage in discussions" with the government and will seek amendments to the special licence to "allow the club to operate as normal as possible".

Meanwhile, Chelsea's shirt sponsor, telecommunications company Three, has requested that the Blues "temporarily suspend" its deal with the club.

Three has asked for "the removal of our brand from shirts and around the stadium until further notice".

The company added: "We recognise that this decision will impact the many Chelsea fans who follow their team passionately.

"However, we feel that given the circumstances, and the government sanction that is in place, it is the right thing to do."

Chelsea will be unable to buy or sell players, or offer new contracts, while the sanctions are imposed on Abramovich. Chelsea-owned players who are on loan at other clubs will be able to continue to play for those clubs.

The London club's merchandise shop has also been shut.

"Once you start digging down into what this could do - yes, they can play their games but will they even be able [to]?" former Chelsea winger Pat Nevin told the BBC World Football podcast.

"Massive amounts of questions but yes, it's not hyperbole to say the future of the club is in serious danger."

The government is open to considering a further addition to the special licence which will allow the sale of the club.

A condition for that to happen would be that Abramovich - one of Russia's richest people who is believed to be close to Russian President Vladimir Putin - receives no funds.

He has previously said that proceeds of any sale would be donated to victims of war.

On Wednesday, there were 20 credible parties looking at a potential Chelsea takeover and interest in buying the club has not been dented, despite Abramovich being sanctioned.

However, the American investment firm - Raine Group - handling the sale has temporarily halted their efforts after the shock of the news and the confusion caused by what happens next.

Culture Secretary Nadine Dorries has said the government is "committed to protecting" the club.

"Football clubs are cultural assets and the bedrock of our communities," she tweeted.

"I know this brings some uncertainty, but the government will work with the league and clubs to keep football being played while ensuring sanctions hit those intended."

Dorries later told BBC Sport: "Abramovich has links to Putin, who is mounting a barbaric and evil attack against the people of Ukraine.

"We in this department stand with the people of Ukraine and I'm afraid sanctions have consequences. Abramovich's actions have consequences too."

What does the special licence mean for Chelsea?


*  Chelsea are able to pay the wages of all employees, including players and coaching staff

*  They can pay "reasonable" costs of travel to and from fixtures but not exceeding £20,000 per game per team

*  They can pay "reasonable" costs towards hosting home fixtures, not exceeding £500,000 per fixture per team

*  Fans who bought season tickets or individual match tickets before 10 March 2022 can attend games

*  Rights-holding broadcasters can broadcast any fixture involving the club

The sanctions were imposed on a day that both Chelsea's men's and women's teams were in action, with the Blues winning at Norwich in the Premier League, and also at West Ham in the WSL.

During Chelsea's 3-1 win at Carrow Road travelling fans chanted Abramovich's name.

The Premier League said that it will "work with the club and the government to ensure the season will proceed as planned and in line with the government's intention".

The Chelsea Supporters' Trust has called for the government "to minimise the uncertainty" and to include fans "in any conversation regarding ongoing impacts".

As a result of the sanctions, the Digital, Culture, Media and Sport (DCMS) select committee will hear from Sports Minister Nigel Huddleston, Football Association chief executive Mark Bullingham and the Premier League's chief policy and corporate affairs officer Helen MacNamara on Tuesday.

Committee chair Julian Knight said the hearing would "explore issues around the role of Russian money in our national game and will examine the government's approach to financial sanctions targeted at specific individuals and its general policy on sporting sanctions and boycotts".

Knight added: "This morning's announcement that Roman Abramovich has been sanctioned by the government and emerging details of the likely effect on one of the country's biggest football clubs illustrates the deep and wide-ranging impact such measures will have on sport in this country."

Since his purchase of the club in 2003, Chelsea have been transformed, setting the template for how much finance was needed to compete at the top end of English football.

In total, Abramovich has loaned the club more than £1.5bn, which has helped to bring great success.

Under Abramovich's ownership, the club have won every major trophy possible - including the Champions League twice, both the Premier League and FA Cup five times, the Europa League twice and the League Cup three times.

In February, they won their first Club World Cup.

They have also won the Women's Super League title four times, the Women's FA Cup on three occasions and picked up the Women's League Cup twice in the past eight years.

Financial journalist Kieran Maguire told the BBC: "In the short term, it's to a large extent business as usual. Chelsea will be able to pay wages due at the end of March and will have other overheads.

"Chelsea's wage bill is round about £28m a month. We don't know how much cash they have in the bank. The most recent accounts we have are from June 2021 when there was £16m in the bank. Abramovich has been injecting money into Chelsea on a regular basis over recent years and presumably that won't be able to continue.

"The concern might be what happens if Chelsea's cash reserves are insufficient to pay their wage bill - but presumably the government and Premier League, who have been working on this, will have been looking at it to try to minimise disruption on a club level."

Analysis

Simon Stone, BBC Sport football reporter

There is no template for dealing with this type of situation and football's authorities are scrambling to work out the finer points.

For Chelsea, some elements are straightforward - and tricky.

They cannot offer new contracts - so the futures of Antonio Rudiger, Andreas Christensen and skipper Cesar Azpilicueta are uncertain.

The loan of Saul Niguez will not be turned into a permanent deal. Chelsea cannot sell the numerous players they have on loan, including Armando Broja, who has impressed so much at Southampton.

Presumably numerous younger players they would have given contracts to now will not get them.

But what about the detail? Can Chelsea sell tickets to their own fans for away games given they as a club do not benefit?

What will happen to the FA Cup semi-final - if they get there - when receipts are split between clubs?

Can Premier League clubs like Brentford - who were part-way through selling their away allocation for their trip to Stamford Bridge on 2 April - still do so, or do they have to stop?

And as for the £20,000 limit on expenses for away games, Chelsea have matches next week at Lille and Middlesbrough. Both would cost substantially more than £20,000.

Can individuals make contributions or will Chelsea have to reduce the cost with a less expensive form of accommodation for Thomas Tuchel's side?

Clearly, the sale of the club needs to happen quickly if there is not to be a major impact. But that is in the hands of the government.

Roman Abramovich's funding meant Chelsea emerged from the financial impact of Covid-19 relatively unaffected - that is unlikely to be the case this time.

Like all the Russian billionaires who still run businesses in their motherland, Roman Abramovich has had to remain on good terms with President Putin, even though he no longer spends much time in the country.

This is what led to him being sanctioned, with the UK government saying he is a "pro-Kremlin oligarch" who has had a "close relationship" with Vladimir Putin for decades and has obtained "financial benefit" and "preferential treatment" from that relationship.

One example given of that is the contracts he received in the run-up to the 2018 World Cup.

More specifically on Ukraine and the Russian army, the UK government claims one of Mr Abramovich's companies, Evraz Plc, may "potentially" have been involved in providing steel which "may have been used in the production of tanks".

Newsletter

Related Articles

London Daily
0:00
0:00
Close
Unelected PM of the UK holds an emergency meeting because a candidate got voted in… which he says is a threat to democracy…
You Are So Beautiful
Rob Schneider explains California reparations legislation.
Postmodern Jukebox European Tour Version
Who knew badminton could get so intense?
An old French tune (by Georges Brassens) Pomplamoose ft. John Schroeder
Farmers break through police barriers in Brussels.
Sattahip Motor Show 20
London's Iconic British Telecom Tower Sold To Become Hotel
SONATE AU CLAIR DE LUNE - Moonlight sonata
Ukraine Arrests Father-Son Duo In Lockbit Cybercrime Bust
A kiss to build a dream on
US Offers $15 Million For Info On Leaders Of Cybercrime Group Lockbit
Wonderful Tonight - Eric Clapton (Boyce Avenue acoustic cover)
Russia Claims UK Cultural Agency Spied for Ukraine
Mean Blues
Apple warns against drying iPhones with rice
La Chansonnette
Alexei Navalny: UK sanctions Russian prison chiefs after activist's death
Pattaya Addicts
German economy is in 'troubled waters' - ministry
Franz Liszt - Liebestraum - Love Dream
In a recent High Court hearing, the U.S. argued that Julian Assange endangered lives by releasing classified information.
Dream a little dream of me
New video
Unchained Melody sung like you've NEVER heard!
Tucker Carlson says Boris Johnson wants "a million dollars, in Bitcoin or cash, from Tucker Carlson to talk about Ukraine.
Dave Brubeck - Take Five
Russia is rebuilding capacity to destabilize European countries, new UK report warns
Édith Piaf - Non, Je Ne Regrette Rien (Sofie)
EU Commission wants anti-drone defenses at Brussels HQ
Rondo Alla Turca
Von der Leyen’s 2nd-term pitch: More military might, less climate talk
Kiss of fire
Global Law Enforcement Dismantles Lockbit Ransomware Operation
Tom Jones - I´ll Never Fall In Love Again 1967, 1989, 2001
Prince William Urges End to Gaza Conflict
Israel Cachao López - Guajira Clásica
UK court to hear Assange's final appeal against extradition to the US, where he faces charges related to his journalistic work—the publication of a classified video in 2010 that exposed US war crimes against humanity.
Edward Maya - Stereo Love (feat. Vika Jigulina) (Extended Mix)
About 50-60% kids either chose to be YouTuber or influencer
Strauss - Radetzky March - Karajan
A viral video of Nationals MP Barnaby Joyce lying on a Canberra footpath is celebrated by his media mates.
La vie en rose
European Countries React to Navalny's Death by Summoning Russian Diplomats
The Temptations - My Girl (Smokey Robinson Tribute) 2006 Kennedy Cent
Israel has gone ‘beyond self-defence’ in Gaza, says Labour’s Streeting
Orlando Cachaito Lopez Redencion
English farmers to be offered ‘largest ever’ grant scheme amid food security concerns
Edith Piaf - NON, JE NE REGRETTE RIEN
Cameron government knew Post Office ditched Horizon IT investigation
RADETZKY MARCH-2008-Wien, New Year Concert
EU Calls for Immediate Ceasefire in Gaza Conflict
Only you (And you alone)
EU Vows To Hold Putin "Accountable" After Meeting Alexei Navalny's Wife
Strangers In The Night
EU Launches Probe Into TikTok Over Child Protection Under Digital Content Law
Charles Aznavour - La Boheme
The EU Initiates Naval Mission to Defend Red Sea Trade Routes
Summer time
EU and UK Announce Joint Effort on Migration
Sting and Stevie Wonder - Fragile (from Sting's 60th birthday concert)
Brazil's Lula Likens Gaza Operation to Holocaust, Israel Says "Red Line" Crossed
Aux Champs Elysees
Ministers Confirm Proposal to Prohibit Mobile Phone Usage in English Schools
Stand By Me - Ben E. King (Boyce Avenue acoustic cover)
Microsoft-backed OpenAI valued at $80bn after company completes deal
La Mer (Beyond the Sea) – Avalon Jazz Band
‘Alexei would want to tell Russia not to give up fighting’
She
Rwandan Footballer's Dismissal Sparks Concerns Over UK Asylum Plan
Nathalie Song by Enzo Petrachi Stjepan Hauser Cello
Whisky Challenges China's Baijiu Market During New Year Celebrations
Shape of My Heart - Sting (Boyce Avenue acoustic cover)
Avdiivka - Symbol Of Ukrainian Resistance Now In Control Of Russian Troops
Radiohead - Creep
Putin Critic Alexei Navalny's "Killers" Refusing To Hand Over Body, Say Allies
Quizás,Quizás,Quizás - Andrea Bocelli - Jennifer Lopez
"Historic Step": Zelensky Signs Security Pact With Germany
Perhaps, Perhaps, Perhaps - Multi-Couples
"Historic Step": Zelensky Signs Security Pact With Germany
Pentatonix Havana
20 Tech Giants Sign Effort To Fight AI Election Interference Across Globe
Paula Cole - Autumn Leaves
Joe Biden Accuses Putin of Causing Navalny's Death
Oscar Benton Bensonhurst Blues
Russian opposition leader Alexey Navalny has died at the Arctic prison colony
OH NANANA vs ABUSADAMENTE
Tucker Carlson grocery shopping in Russia. This is so interesting.
Nina Simone - ”I Put A Spell On You”. Vezi aici cum cântă Jeremy Ragsd
Julian Assange's Wife Warns of His Death if Extradited to US
NIGHTWISH - The Phantom Of The Opera
‘A lot higher than we expected’: Russian arms production worries Europe’s war planners
Motorshow 2016 Tanjay Negros Oriental
Greece Legalizes Same-Sex Marriage and Adoption Rights
Monica Bellucci - Ti Amo
Hungarian Foreign Minister: Europeans will lose Europe, the Union's policy must change drastically
Michael Jackson - Billie Jean Milena The Voice France 2018
In Britain Homeowners are receiving CPO’s (Compulsory Purchase Orders) so their homes can be redistributed to migrants
Michael Buble (Help Me Make It Through The Night) feat Loren Allred
Memories Canon In D - Maroon 5 (Boyce Avenue piano acoustic cover)
Matteo Simoni - Marina
Maroon 5 - One More Night
Maroon 5 - Memories
Mark Knopfler - Brothers In Arms (Berlin 2007 Live)
Mark Knopfler & Emmylou Harris - Romeo And Juliet (Real Live Roadrunni
Marina, Marina - The LUCKY DUCKIES intimist live concert at Guimarães
Major Lazer & DJ Snake – Lean On Mauranne The Voice France 2016
Love Theme from Romeo and Juliet - Joslin - Henri Mancini, Nino Rota
LoLa & Hauser - Love Story
Linkin Park Jay-Z - Numb Encore (Live 8 2005)
Hallelujah Mennel Ibtissem, The Voice France Leonard Cohen
Leonard Cohen - Dance Me to the End of Love
Leonard Cohen & Natasha Rostova - Dance me to the end of love
La casa de papel - Bella Ciao
La Camisa Negra
L'italiano (Toto Cutugno) - The Gypsy Queens
Juanes - La Camisa Negra
Jonathan and Charlotte - Britain's Got Talent 2012 Live Semi Final - U
John Powell - Assassin's Tango
Joe Cocker - You Can Leave Your Hat On (LIVE in Dortmund)
Joe Cocker - Unchain My Heart 2002 Live
Joe Cocker - A Whiter Shade Of Pale
Jay Z & Alicia Keys - Empire State of Mind LIVE
Jason Mraz - Im Yours (live)
Jarrod Radnich - Bohemian Rhapsody - Virtuosic Piano Solo
James Blunt - You're Beautiful
James Blunt - You're Beautiful & Bonfire Heart (Live at The Nobel Peac)
If You Go Away - Helen Merrill & Stan Getz (Tribute to Virna Lisi)
I'LL BE MISSING YOU
I Say a Little Prayer
Hotel California ( Eagles ) 1994 Live
Historia de un amor - Luz Casal. Vezi interpretarea Biancăi Sumanariu
Here Comes The Sun - The Beatles (Boyce Avenue acoustic cover) on Spot
Heart - Stairway to Heaven Led Zeppelin - Kennedy Center Honors
HAVANA by Camila Cabello Zumba Pre Cooldown TML Crew Kramer Pastra
HAUSER and Señorita - I Will Always Love You
HAUSER - Waka Waka
HAUSER - Sway
HAUSER - Lambada
HAUSER - Historia de un Amor
HAUSER - Despacito
Great Pretender
Georgia May Foote & Giovanni Pernice Samba to 'Volare' - Strictly Come
Gary Moore - Still Got The Blues
GIPSY KINGS VOLARE Penelope Cruz
Fugees - Killing Me Softly With His Song
French Latino - Historia de un Amor
For A Few Dollars More The Danish National Symphony Orchestra (Live)
Flashdance • What a Feeling • Irene Cara
Filip Rudan - “Someone You Loved” Audicija 4 The Voice Hrvatska Sez
Eric Clapton - Wonderful Tonight
Enya - Only Time
Enrique Iglesias - Bailando (English Version) ft. Sean Paul
Enrique Iglesias - Bailamos
Elena Yerevan Historia de un amor
Ed Sheeran - Shape of You (Official Music Video)
Ed Sheeran - Perfect Symphony [with Andrea Bocelli]
Ed Sheeran - Perfect (Official Music Video)
Easy On Me - Adele (Boyce Avenue 90’s style piano acoustic cover) on S
ERA - Ameno
ELENA YEREVAN- Cancion Del Mariachi-IN STUDIO-2017 DPR
Dust In The Wind - Kansas (Boyce Avenue acoustic cover)
Don't Let Me Be Misunderstood
Despacito x Shape Of You - Pentatonix
Deep Purple - Child In Time - Live (1970)
David Foster When A Man Loves A WomanIt's A Mans World (SealMichael Bo
Dance me to the end of Love ( Pi-Air Design )
Coolio - Gangsta's Paradise (feat. L.V.) [Official Music Video]
Conquest Of Paradise (Vangelis), played on Böhm Emporio organ
Cielito Lindo
Chico & The Gypsies - Bamboleo
Canción Del Mariachi - Antonio Banderas, Los Lobos • Desperado
Camila Cabello - Havana (Audio) ft. Young Thug
Camila Cabello - Havana ( cover by J.Fla )
California Dreamin' - The Mamas & The Papas José Feliciano (Boyce Ave
Buster Benton - Money Is The Name of The Game
Hallelujah Pentatonix
Bobby McFerrin - Don't Worry Be Happy (Official Music Video)
Bob Dylan - Knockin' On Heaven's Door Emilia The Voice Kids France
Besame Mucho - Cesaria Evora
Ben E. King - Stand by Me Sax Cover Alexandra Ilieva Thomann
Bella Ciao
Bella Ciao - INSTRUMENTAL
Beautiful in White x Canon in D (Piano Cover by Riyandi Kusuma)
Bad Romance - Vintage 1920's Gatsby Style Lady Gaga Cover ft. Ariana Savalas & Sarah Reich(1)
BELLA CIAO 2020 - KARAOKE ITALIANO
BAMBOLEO - Gipsy Kings • Antonio Banderas, Katya Virshilas
BAILANDO (original)
Awesome Ukrainian yodeler - SOFIA SHKIDCHENKO (with English subtitles)
Avicii - The Nights
Atom - The Great Gig in the Sky
Aretha Franklin - (You Make Me Feel Like) A Natural Woman (Official Ly
Antonio Banderas - Cancion del Mariachi (Desperado)
André Rieu - Zorba's Dance (Sirtaki)
André Rieu - Can't Help Falling In Love
André Rieu & Mirusia - Ave Maria
Andrew Reyes Elton John - Don't Let The Sun Go Down The Voice 2020 (
Andreas Kümmert Whiter Shade Of Pale The Voice of Germany 2013 Showd
And I Love You So
All About That Bass - Postmodern Jukebox European Tour Version
Alan Walker - Faded (Piano Cover)
Ain't No Sunshine -- Bill Withers (cover by Canen 12 y.o.)
African music
Adriana Vidović - “Creep” Audicija 4 The Voice Hrvatska Sezona 3
Adriana Vidović - “Believer” Nokaut 3 The Voice Hrvatska Sezona 3
A Fistful of Dollars - The Danish National Symphony Orchestra and Tuva
4 Beautiful Soundtracks Relaxing Piano [10min]
2CELLOS - Whole Lotta Love vs. Beethoven 5th Symphony [OFFICIAL VIDEO]
2CELLOS - Smooth Criminal (Live at Suntory Hall, Tokyo)
2CELLOS - Smells Like Teen Spirit [Live at Sydney Opera House]
2CELLOS - Despacito [OFFICIAL VIDEO]
13 Year Old Girl Playing Il Silenzio (The Silence) - André Rieu
094.All About That Bass
00 - SADNESS PART 1
(Ghost) Riders In the Sky (American Outlaws Live at Nassau Coliseum, 1
(Everything I Do) I Do It For You - Bryan Adams (Boyce Avenue ft. Conn
What a wonderful world
Moon river
×