Hungary ignores legal requests over seizure of Ukraine's Oschadbank assets
Oschadbank and its legal counsel have sent formal requests to various Hungarian authorities demanding explanations regarding the detention of the bank's cash-in-transit vehicles on March 5 this year, the alleged mistreatment of bank employees, and the seizure of its assets ($40 million, EUR 35 million, and 9 kg of gold), but so far all such requests have gone unanswered, said Oleksiy Didkovsky, managing partner at Asters law firm, which represents the bank's interests.
"Unfortunately, from the moment of these events until now, none of our questions or appeals have received any explanations or documents in any form regarding the incident. Therefore, we will continue working on this with our legal team, addressing both tactical and strategic objectives," he said at a press conference at the Interfax-Ukraine agency on Tuesday.
Oschadbank Board Chairman Yuriy Katsion said that the bank sought legal assistance to protect its interests on the very first day after the incident.
"The bank initiated criminal, procedural, and international legal steps and provided information to Ukrainian law enforcement agencies as well as relevant international counterparties and creditors in accordance with our contractual obligations. At the same time, Oschadbank has not received any official notifications regarding the grounds for the detention of its personnel and cargo either before or after the incident," the Board Chairman said.
@Interfax-Ukraine / Oleksandr Zubko
According to Didkovsky, both Ukrainian and Hungarian legal teams, as well as additional international teams, are involved in the case.
He said that the legal strategy currently includes two main tracks: in the short term, the necessary statements and appeals have been filed in both Hungary and Ukraine, primarily in the criminal law domain.
"We are now analyzing additional steps that can be taken in Ukraine, Hungary, and across the European Union, with the aim, first, of protecting the rights of the individuals involved, and second, of restoring what was taken from them, namely, the right to enter the EU for a period of three years. These are unprecedented actions carried out without any explanation," the managing partner said.
He added that further claims and lawsuits would be filed regarding the damages incurred by the bank, as the seized assets have not yet been returned.
"The bank will pursue legal action both to recover these assets and to obtain compensation for the damages caused by these events," Didkovsky said.
@Interfax-Ukraine / Oleksandr Zubko
He said that requests are being submitted to a broad range of entities in Hungary that were involved in these unprecedented actions.
The lawyer added that claims may also be filed against the Hungarian state over the actions that took place.
The head of Oschadbank said that the bank knows where its seized assets are being held and is attempting to communicate with Hungarian representatives through Ukraine's Ministry of Foreign Affairs, as well as through Ukraine's ambassador to Hungary and its consul.
Katsion added that the need to summarize interim results is linked to attempts to spread false information in the media space regarding the seizure of the bank's assets by Hungary.
"In recent days, false narratives that were initially circulated during the first two days of the incident have begun to reappear in Ukraine's media space. These narratives, in fact, spread Russian information-psychological operations and conspiracy theories that have no factual basis. They harm not only the reputation of the state-owned Oschadbank but also pose a threat to Ukraine's financial sector as a whole and may also affect the prospects of recovering the illegally seized funds from Hungary," the Board Chairman said.
He once again stressed that the cargo had been registered in accordance with international transport rules and European customs procedures, and that all accompanying documents were immediately submitted to the National Bank of Ukraine for verification. In addition, Oschadbank initiated an independent review by leading international financial auditing firms.
Katsion thanked Ukraine's Ministry of Foreign Affairs, the National Bank of Ukraine, and 35 members of the European Parliament for their support, noting that they had called on the European Commission to respond to Hungary's unlawful actions.
"We also have a statement of support from European Central Bank President Christine Lagarde, who believes that the attack by Hungary's Counter Terrorism Centre special forces on Oschadbank cash collectors poses a threat to the currency stability of the European Union," he added.
As reported, on March 5 in Hungary, during a special operation by the Counter Terrorism Centre at a gas station on the M5 motorway, two Ukrainian cash-in-transit vehicles carrying $40 million, EUR 35 million, and 9 kg of gold were detained. Seven cash collectors were also detained, later released, and returned to Ukraine.
Ukraine's National Police opened criminal proceedings over the abduction of Ukrainian citizens and the seizure of Oschadbank service vehicles on Hungarian territory.
Ukrainian President Volodymyr Zelenskyy described the detention of the Oschadbank convoy in Hungary as an act of banditry. On March 9, Hungary's ambassador to Ukraine, Antal Heizer, was summoned to Ukraine's Foreign Ministry, where he was issued a strong protest over the seizure of hostages and assets.
