PrivatBank secures final $337 mln victory against Russia over Crimean asset seizure

The Permanent Court of Arbitration in The Hague has ruled that Russia owes PrivatBank over $327 million in compensation for the illegal seizure of the bank's assets in Crimea, according to the court's statement following a 2015 arbitration proceeding initiated by the Ukrainian financial institution. PrivatBank's victory marks a significant triumph in its 11-year legal pursuit to establish justice and uphold the principle that expropriation of assets must have consequences.

The bank's press release cited Solvita Deglava, a member of PrivatBank's Management Board in charge of restructuring and distressed assets, as expressing the bank's expectation that the arbitral award will be enforced and the determined amount paid in full. Deglava emphasized that the bank will take all necessary measures to ensure payment and safeguard the interests of the bank and its stakeholders.

The tribunal's final award consists of $180.87 million plus interest from April 18, 2014 until the date of payment, as well as the costs associated with the arbitration proceedings. The court determined that it had jurisdiction to address PrivatBank's claims and that the claims were admissible, while rejecting the respondent's objections regarding the illegality of the investments, ruling that they did not disqualify the tribunal's jurisdiction or deem the claims inadmissible. Consequently, the Ukrainian bank was awarded compensation and reimbursement for costs.

PrivatBank, Ukraine's largest bank, was nationalized at the end of 2016, with total assets valued at UAH 979.31 billion as of August 1, 2026, representing 22.7% of the country's overall bank assets. Quinn Emanuel Urquhart & Sullivan UK LLP and Asters Consult LLC provided legal assistance to Ukraine during the proceedings.