62022TJ0732_INF
Judgment of the General Court (First Chamber) of 18 December 2024 –Deripaska v Council
(Case T‑732/22)
(Common foreign and security policy – Restrictive measures taken in respect of actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine – Freezing of funds – List of persons, entities and bodies subject to the freezing of funds and economic resources – Retention of the of the applicant’s name on the list – Concept of ‘leading businessperson’ – Concept of ‘businesspersons involved in economic sectors providing a substantial source of revenue to the Government of the Russian Federation’ – Article 2(1)(a) and (g) of Decision 2014/145/CFSP – Plea of illegality – Obligation to state reasons – Right to effective judicial protection and rights of the defence – Error of assessment – Proportionality – Right to property – Right to be heard)
1.
EU law – Principles – Rights of the defence – Right to effective judicial protection – Restrictive measures taken in view of the situation in Ukraine – Obligation to disclose individual and specific grounds for the decisions adopted – Obligation to enable the person concerned effectively to put forward his or her point of view regarding the reasons relied on against him or her – Scope – Infringement of the right to be heard – None
(Charter of Fundamental Rights of the European Union, Art. 41(2)(a); Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2022/1530, (CFSP) 2023/572, (CFSP) 2023/1767 and (CFSP) 2024/847, Art. 3(3); Council Regulations No 269/2014, Art. 14(3), 2022/1529, 2023/571, 2023/1765 and 2024/849)
(see paragraphs 51, 75-81, 88, 100)
2.
Acts of the institutions – Statement of reasons – Obligation – Scope – Restrictive measures taken in view of the situation in Ukraine – Freezing of funds of certain persons and entities having regard to the situation in Ukraine – Obligation to identify in the statement of reasons the specific and concrete elements justifying the said measure – Decision falling within a context known to the person concerned, enabling him or her to understand the scope of the measure taken against him or her – Whether summary statement of reasons sufficient
(Art. 296, second para., TFEU; Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2022/1530, (CFSP) 2023/572, (CFSP) 2023/1767 and (CFSP) 2024/847; Council Regulations No 269/2014, 2022/1529, 2022/571, 2023/1765 and 2024/849)
(see paragraphs 52-62, 65)
3.
European Union – Judicial review of the legality of the acts of the institutions – Restrictive measures taken in view of the situation in Ukraine – Scope of the review – Proof that the measure is well founded – Obligation on the competent EU authority to establish, in the event of challenge, that the reasons relied on against the persons or entities concerned are well founded – Inclusion on the lists based on a specific, precise and consistent body of evidence – Error of assessment – None
(Charter of Fundamental Rights of the European Union, Art. 47; Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2022/1530, (CFSP) 2023/572, (CFSP) 2023/1767 and (CFSP) 2024/847; Council Regulations No 269/2014, 2022/1529, 2023/571, 2023/1765 and 2024/849)
(see paragraphs 105-109)
4.
European Union – Judicial review of the legality of the acts of the institutions – Restrictive measures taken in view of the situation in Ukraine – Scope of the review – Proof that the measure is well founded – Obligation on the competent EU authority to establish, in the event of challenge, that the reasons relied on against the persons or entities concerned are well founded – Breadth of the discretion of that competent authority – Relevance of evidence produced on the basis of a previous inclusion where there are no amendments to the grounds for inclusion or changes in the applicant’s situation or in the context in Ukraine – Changes in the applicant’s situation
(Charter of Fundamental Rights of the European Union, Art. 47; Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2022/1530, (CFSP) 2023/572, (CFSP) 2023/1767 and (CFSP) 2024/847; Council Regulations No 269/2014, 2022/1529, 2023/571, 2023/1765 and 2024/849)
(see paragraphs 110, 111, 232-241)
5.
European Union – Judicial review of the legality of the acts of the institutions – Restrictive measures taken in view of the situation in Ukraine – Scope of the review – Inclusion of the applicant on the list annexed to the contested decision on account of his supporting or implementing actions or policies compromising or threatening the territorial integrity, sovereignty and independence of Ukraine – Publicly available documents – Principle of the unfettered assessment of the evidence
(Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2022/1530; Council Regulations No 269/2014 and 2022/1529)
(see paragraphs 117-119)
6.
Common foreign and security policy – Restrictive measures taken in view of the situation in Ukraine – Criteria for adopting restrictive measures – Persons responsible for, or supporting, actions or policies which undermine or threaten the territorial integrity, sovereignty and independence of Ukraine, and natural or legal persons, entities or bodies associated with them – Meaning – Need for a direct or indirect link between the actions or policies referred to and the situation in Ukraine – Error of assessment – None
(Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2022/1530, Art. 2(1)(a)); Council Regulations No 269/2014, Art. 3(1)(a) and 2022/1529)
(see paragraphs 131, 144, 148, 156)
7.
Common foreign and security policy – Restrictive measures taken in view of the situation in Ukraine – Criteria for adopting restrictive measures – Leading businesspersons involved in economic sectors providing a substantial source of revenue to the Government of the Russian Federation and persons associated with them – Concept of ‘leading’ – Beneficial owner of the lead Russian car manufacturer and capital holdings in a large Russian aluminium production company – Included
(Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2023/572, Art. 2(1)(g); Council Regulations No 269/2014, Art. 3(1)(g) and 2023/571)
(see paragraphs 168-170, 176, 185)
8.
Common foreign and security policy – Restrictive measures taken in view of the situation in Ukraine – Criteria for adopting restrictive measures – Leading businesspersons involved in economic sectors providing a substantial source of revenue to the Government of the Russian Federation and persons associated with them – Concept of economic sector providing a substantial source of revenue – Car manufacturing and metal sectors – Included
(Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2023/572, Art. 2(1)(g); Council Regulations No 269/2014, Art. 3(1)(g) and 2023/571)
(see paragraphs 169, 191)
9.
Plea of illegality – Scope – Measures the illegality of which may be pleaded – General measure providing the basis of the contested decision – Need for a legal connection between the contested measure and the contested general measure
(Arts 263 and 277 TFEU)
(see paragraphs 204, 205, 224)
10.
Common foreign and security policy – Restrictive measures taken in view of the situation in Ukraine – Criteria for adopting restrictive measures – Businesspersons, legal persons, entities or bodies involved in economic sectors providing a substantial source of revenue to the Government of the Russian Federation and persons associated with them – Compliance with the principle of legal certainty requiring clarity, precision and foreseeability of the effects of legal rules
(Art. 21(2)(c) TEU; Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2023/1094, (CFSP) 2023/1767 and (CFSP) 2024/847, Art. 2(1)(g); Council Regulations No 269/2014, Art. 3(1)(g), 2023/1089, 2023/1765 and 2024/849)
(see paragraphs 209-211, 214-216)
11.
Common foreign and security policy – Restrictive measures taken in view of the situation in Ukraine – Criteria for adopting restrictive measures – Businesspersons, legal persons, entities or bodies involved in economic sectors providing a substantial source of revenue to the Government of the Russian Federation and persons associated with them – Meaning – Businesspersons of importance on account of their position or their activities in the economic sector concerned
(Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2023/1094, (CFSP) 2023/1767 and (CFSP) 2024/847, Art. 2(1)(g); Council Regulations No 269/2014, Art. 3(1)(g), 2023/1089, 2023/1765 and 2024/849)
(see paragraph 212)
12.
Common foreign and security policy – Restrictive measures taken in view of the situation in Ukraine – Criteria for adopting restrictive measures – Businesspersons, legal persons, entities or bodies involved in economic sectors providing a substantial source of revenue to the Government of the Russian Federation and persons associated with them – Concept of substantial source of revenue – Substantial and non-negligible source of revenue – Included
(Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2023/1094, (CFSP) 2023/1767 and (CFSP) 2024/847, Art. 2(1)(g); Council Regulations No 269/2014, Art. 3(1)(g), 2023/1089, 2023/1765 and 2024/849)
(see paragraph 213)
13.
Common foreign and security policy – Restrictive measures taken in view of the situation in Ukraine – Criteria for adopting restrictive measures – Businesspersons, legal persons, entities or bodies involved in economic sectors providing a substantial source of revenue to the Government of the Russian Federation and persons associated with them – Observance of the principle of proportionality
(Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2023/1094, (CFSP) 2023/1767 and (CFSP) 2024/847, Art. 2(1)(g); Council Regulations No 269/2014, Art. 3(1)(g), 2023/1089, 2023/1765 and 2024/849)
(see paragraphs 218-222)
14.
European Union – Judicial review of the legality of the acts of the institutions – Restrictive measures taken in view of the situation in Ukraine – Scope of the review – Proof that the measure is well founded – Obligation on the competent EU authority to establish, in the event of challenge, that the reasons relied on against the persons or entities concerned are well founded – Breadth of the discretion of that competent authority – Relevance of evidence produced on the basis of a previous inclusion where there are no amendments to the grounds for inclusion or changes in the applicant’s situation or in the context in Ukraine – Changes in the applicant’s situation – None
(Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2023/1094, (CFSP) 2023/1767 and (CFSP) 2024/847, Art. 2(1)(g); Council Regulations No 269/2014, Art. 3(1)(g), 2023/1089, 2023/1765 and 2024/849)
(see paragraphs 232-236, 240-241)
15.
Common foreign and security policy – Restrictive measures taken in view of the situation in Ukraine – Freezing of funds of certain persons and entities having regard to the situation in Ukraine – Restriction of the right to property – Whether permissible – Conditions – Restriction laid down by law – Respect for the essence of the right invoked – Pursuit of an objective of general interest, recognised as such by the European Union – Observance of the principle of proportionality – Conditions met
(Charter of Fundamental Rights of the European Union, Arts 17 and 52(1); Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2022/1530, (CFSP) 2023/572, (CFSP) 2023/1767 and (CFSP) 2024/847; Council Regulations No 269/2014, 2022/1529, 2023/571, 2023/1765 and 2024/849)
(see paragraphs 251-271)
16.
Common foreign and security policy – Restrictive measures taken in view of the situation in Ukraine – Freezing of funds of certain persons and entities having regard to the situation in Ukraine – Infringement of the presumption of innocence – None
(Charter of Fundamental Rights of the European Union, Arts 48(1) and 52(1); Council Decision 2014/145/CFSP, as amended by Decisions (CFSP) 2022/1530, (CFSP) 2023/572, (CFSP) 2023/1767 and (CFSP) 2024/847; Council Regulations No 269/2014, 2022/1529, 2023/571, 2023/1765 and 2024/849)
(see paragraph 272)
17.
Non-contractual liability – Conditions – Unlawfulness – Damage – Causal link – One of the conditions not satisfied – Action for damages dismissed in its entirety
(Art. 340, second para., TFEU)
(see paragraphs 276-278)
Operative part
The Court:
1.
Dismisses the action;
2.
Orders Mr Oleg Vladimirovich Deripaska to bear his own costs and to pay those incurred by the Council of the European Union;
3.
Orders the European Commission to bear its own costs.