A wide-ranging British preliminary probe into billionaire Roman Abramovich's wealth held on Jersey island is looking into whether he tried to evade UK sanctions placed on him after Moscow's invasion of Ukraine due to his close ties with Russian President Vladimir Putin, The Wall Street Journal reported on Tuesday.
A court in Jersey froze last month's assets worth more than $7 billion it suspects are tied to Abramovich.
Although the probe is at an early stage and has not become a formal investigation, it is examining a transaction made after the invasion of Ukraine to determine if it was carried out to shield assets connected to Abramovich from sanctions imposed by the UK and the European Union, those familiar with the probe told The Wall Street Journal.
The transaction in question was made by Canadian accountant Eugene Tenenbaum, who worked closely with Abramovich. Tenenbaum bought, soon after the invasion, Ervington Investments Ltd., which was previously linked to Abramovich, via Tenenbaum's Jersey-registered company, Heathville Investments Ltd.
The British government has said more recently that Tenenbaum no longer owns Ervington. The Canadian accountant denies he holds any assets owned by Abramovich and has maintained that the Ervington deal was never completed.
The probe is also examining how Abramovich purchased oil companies in the 1990s that helped make him wealthy after the breakup of the Soviet Union and in what manner he consolidated some of his wealth on the island.
Those familiar with the probe told the Journal that Jersey is attempting to figure out if any of that money was made illicitly or if regulations were not properly followed.