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EU vice president sacked

The decision over Eva Kaili, embroiled in a corruption probe that allegedly involves World Cup hosts Qatar, was taken on Tuesday…reports Asian Lite News

Greek MEP Eva Kaili was stripped of her position as a vice president in the European Parliament. The decision over Kaili, embroiled in a corruption probe that allegedly involves World Cup hosts Qatar, was taken on Tuesday morning, according to European Parliament President Roberta Metsola.

Her ousting as vice president was rubber-stamped by MEPs who overwhelmingly backed the motion with 625 in favour, one against and two abstentions. A two-thirds majority was needed.

It comes after Belgian police made fresh raids on Monday including one on a European parliamentary office as the corruption investigation widened.

In a statement, Belgium’s Federal Prosecutors Office said that the IT resources of ten parliamentary staff had been “frozen” to prevent the “disappearance of data necessary for the investigation”. They went on to say that the purpose of the search at the European Parliament was “to seize this data”.

The bloc’s top politicians have strongly condemned the corruption scandal that is shaking the EU legislative body. The EU Parliament President Roberta Metsola spoke about the “enemies of democracy for whom the very existence of this Parliament is a threat, will stop at nothing”.

“A total of 20 searches have been carried out since the beginning of the operations, including 19 in private homes and the one in the offices of the European Parliament,” the Belgian investigators concluded.

The sums seized during the searches carried out so far are spectacular: “€600,000 at the home of one of the suspects, several hundred thousand euros in a suitcase in a Brussels hotel room and around €150,000 in a flat belonging to a Member of the European Parliament,” according to the federal prosecutor’s office.

In a strongly-worded speech, Metsola spoke of “malign actors, linked to autocratic third countries [that] have allegedly weaponised NGOs, unions, individuals, assistants and Members of the European Parliament”.

Four people arrested, including Kaili, have been charged with corruption and money-laundering.

European Commission President Ursula von der Leyen, the head of the EU’s executive arm, said the accusations against Kaili threatened the confidence EU citizens have put in the 27-nation bloc’s institutions.

She said the independent ethics body she proposed establishing would cover lobbying activities at the European Commission, the European Council and European Parliament, as well as at the European Central Bank, the European Court of Justice and the European Court of Auditors.

Doha has rejected any allegations of misconduct saying that “any association of the Qatari government with the reported claims is baseless and gravely misinformed”.

Socialist MEPs step down

The socialist group in the European Parliament has asked several of its members to step down from key posts and legislative files as the graft scandal involving, Kaili, continues to widen and send shockwaves through Brussels.

The Socialists & Democrats (S&D), the second largest formation in the hemicycle, has come under intense scrutiny after Kaili was arrested on suspicion of illicit lobbying in favour of a Persian Gulf state, believed to be Qatar, the controversial host of the 2022 FIFA Men’s World Cup.

The move follows a new update by the Belgian federal prosecutor, who in a press release said the IT resources of ten parliamentary had been “frozen” to prevent the disappearance of data. A total of 20 searches have been carried out since Friday, with more than €750,000 seized.

Four people, including Kaili, remain in custody and will appear before a pre-trial hearing on Wednesday.

“My group and myself are shocked by this corruption case,” S&D President Iratxe García Pérez told reporters on Tuesday morning. “I want to make it clear that our commitment to transparency is, has been and will always be absolute.”

García expressed her “disappointment” and said her main concern was to protect the Parliament’s credibility, which, she said, must not be “tarnished” by the revelations.

“We have decided that the MEPs who are being investigated or those whose assistants are being investigated by law enforcement relinquish any position of responsibility that they exercise in the Parliament and in the S&D group as long proceedings are ongoing,” García said.

It is unclear how many of these MEPs took the decision on their own terms or were asked to step aside by the S&D leadership. Euronews has reached out to all of them asking for comment.

Maria Arena denied any “special relation” with the Qatari government and said her removal as subcommittee chair relates to one of her assistants, who used to work for the NGO Fight Impunity, an organisation involved in the corruption scandal.

The president and founder of Fight Impunity, former S&D MEP Pier Antonio Panzeri, was one of those arrested alongside Kaili. The organisation does not appear under the EU’s transparency registry.

“This is a personal decision in the interest of the work of the commission,” Arena told Euronews.

“Temporarily, I will not chair the sub-committee until the investigation clarifies the position of my assistant who, I remind you, is only concerned by this case by the fact she carried out a consultancy for the NGO Fight Impunity as an independent expert specialist in governance issues in Africa and, at that time, she was not my assistant.”

ALSO READ-EU, Hungary strike deal to end logjam over Ukraine aid

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EU, Hungary strike deal to end logjam over Ukraine aid

Some 5.8 billion euros ($6.1 billion) will be unlocked as part of the post-pandemic Recovery and Resilience Facility (RRF) funds, and another is the operative program of the Cohesion Funds….reports Asian Lite News

Hungary has concluded a long-delayed deal with the European Union (EU) on several billion euros of frozen funds, a Minister said here.

“All the goals we set for ourselves earlier have been achieved,” Tibor Navracsics, minister for regional development, said on Tuesday.

Late Monday night, the Czech Presidency of the Council of the EU announced that a deal had been reached with Hungary related to the blocked funds, reports Xinhua news agency.

The EU member states’ ambassadors approved Hungary’s Recovery and Resilience Plan (RRP) and concluded an agreement on the so-called conditionality procedure, the Czech Presidency said on Twitter.

This means that Hungary can access two large packages of EU funds.

Some 5.8 billion euros ($6.1 billion) will be unlocked as part of the post-pandemic Recovery and Resilience Facility (RRF) funds, and another is the operative program of the Cohesion Funds.

Before the agreement, the Czech Presidency confirmed to Politico that Hungary had cancelled its vetoes on both the 18-billion-euro joint EU loan destined at helping Ukraine, and the global minimum tax, which Budapest also opposed.

Earlier, EU officials said that the government of Prime Minister Viktor Orban had been using these vetoes as leverage to deblock the frozen funds — charges that the country’s government and Orban himself firmly denied.

Hungary’s Parliament will still have to adopt a package of laws by the end of March 2023, after which the suspension of EU Cohesion Funds could be lifted in April.

The government also said that in the case of the Cohesion Funds, the initial freeze of 65 per cent of the funds had been reduced to 55 per cent.

Later on Monday, Orban announced a 15-per cent pension hike in the country effective January 2023.

ALSO READ: Anger as Austria blocks Romania from joining EU’s passport-free zone

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Zelensky thanks Biden for ‘unprecedented’ aid support

Zelensky also “appreciated the help being provided by the US to restore the energy system.” He was referring to the damage done to Ukrainian energy grids due to repeated Russian missile strikes…reports Asian Lite News

Ukrainian President Volodymyr Zelensky, in a phone call, has thanked his US counterpart Joe Biden for the “unprecedented” help for his war-ravaged country to enhance its defence and financial fronts, media reported.

“I thanked for the unprecedented defence and financial assistance that the USA provides to Ukraine,” Zelensky said, news agency Reuters reported, citing his Telegram post.

“This not only contributes to success on the battlefield but also supports the stability of the Ukrainian economy,” he further added.

Zelensky also “appreciated the help being provided by the US to restore the energy system.” He was referring to the damage done to Ukrainian energy grids due to repeated Russian missile strikes.

According to a White House readout, President Biden has assured Zelensky that boosting Ukraine’s defence system was a priority for the US. He also welcomed Zelensky’s “stated openness to a just peace based on fundamental principles enshrined in the United Nations Charter”.

Last week, the US Defence Department announced another military assistance package worth USD 275 million for Ukraine. The package includes additional ammunition for high mobility artillery rocket systems (HIMARS), 80,000 155 mm artillery rounds and counter-Unmanned Aerial Systems equipment.

In addition, the assistance package announced by the US includes counter-air defence capability, high mobility multipurpose wheeled vehicles (HMMWVs) ambulances and medical equipment, around 150 generators and field equipment. The announcement comes amid the ongoing war between Russia and Ukraine. The US Defence Department noted that the United States has provided military assistance worth over USD 19.3 billion since Russia began its military offensive in Ukraine on February 24.

According to the statement issued by the US Defence Department, the military assistance package will provide Ukraine with new capabilities to bolster its air defence. Notably, the US has been providing military and humanitarian assistance to Ukraine ever since Moscow launched aggression in Kyiv.

“This security assistance package will provide Ukraine with new capabilities to boost its air defences in addition to providing critical equipment that Ukraine is using so effectively to defend itself on the battlefield,” the US Defence Department said in the press release.

President Joe Biden.(photo:Instagram)

Talks with Macron, Erdogan

Zelensky has said that he had separate conversations with French President Emmanuel Macron and Turkish President Recep Tayyip Erdogan.

Zelensky tweeted on Sunday that he discussed with Macron “the implementation of our ten-step peace formula, cooperation on defense and energy stability” of Ukraine, Xinhua news agency reported.

In the conversation with Erdogan over the phone, Zelensky thanked Turkey for “sheltering Ukrainian children and providing hundreds of generators for our cities”.

Zelensky and Erdogan also discussed the “Grain from Ukraine” programme and the possible expansion of the Black Sea Grain export deal.

Turkish President Recep Tayyip Erdogan told his Ukrainian counterpart Volodymyr Zelensky that Turkey continued to work towards meeting the humanitarian needs of the Ukrainian people in the “difficult winter months”.

“The grain corridor could be expanded to include different food products and other commodities,” said Erdogan.

He also expressed hope for “approaching a solution” to the issue of the Zaporizhzhia nuclear power plant in southern Ukraine.

Turkey has been evaluating the contributions that can be made for the implementation of the peace plan announced by Zelensky at the G20 Summit, the Turkish President told his Ukrainian counterpart.

Turkish first lady Emine Erdogan was closely involved with the group of 1,033 people consisting of Ukrainian orphan children and their companions hosted in the Turkish capital Ankara, he added.

ALSO READ: ‘Dialogue only way forward to de-escalate Ukraine situation’

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Russia offers India help in overcoming oil price cap

While India has many times called for peace negotiations over Ukraine, it has stood firm by its stand that it will keep buying oil from wherever it gets a good deal….reports Asian Lite News

Russia has offered India help in overcoming oil price cap being imposed by western nations amid the war in Ukraine.

“In order not to depend on the ban on insurance services and tanker chartering in the European Union and Britain, the Deputy Prime Minister of Russia Alexander Novak has offered India cooperation on leasing and building large-capacity ships,” the Russian embassy in New Delhi said.

Alexander Novak held a meeting with Indian ambassador to Moscow Pavan Kapoor on Friday, it said.

“In the first eight months of 2022, Russian oil exports to India grew to 16.35 million tonnes; in the summer, Russia ranked second in terms of oil shipments to India,” the statement said.

Western nations have been critical of India’s move to keep buying oil from Russia amid the war in Ukraine. While India has many times called for peace negotiations over Ukraine, it has stood firm by its stand that it will keep buying oil from wherever it gets a good deal.

The government does not ask Indian companies to buy oil from Russia but it is a sensible policy to get the best deal in the interest of the Indian people, External Affairs Minister S Jaishankar told parliament on December 7.

“We do not ask our companies to buy Russian oil. We ask our companies to buy oil, what is the best option that they can get. Now it depends on what the market throws up… Again, please do understand, it’s not just that we buy oil from one country. We buy oil from multiple sources, but it is a sensible policy to go where we get the best deal in the interests of the Indian people and that is exactly what we are trying to do,” Jaishankar had said.

ALSO READ: India-Russia Summit not to take place this year

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India-Russia Summit not to take place this year  

Several media reports speculated that the annual in-person summit had been cancelled due to the Russian President alleged threats to use nuclear weapons in the Ukraine war….reports Asian Lite News

The annual India-Russia summit in which Prime Minister Narendra Modi was slated to meet with Russian President Vladimir Putin is unlikely to take place this year due to “scheduling issues” sources said.

“Reports of PM Modi not meeting Putin due to nuclear threat is baseless. The meeting is not taking place due to scheduling issues,” sources told ANI. The annual summit between the Indian Prime Minister and the Russian President is the highest institutionalized dialogue mechanism in the strategic partnership between the two countries.

Several media reports speculated that the annual in-person summit had been cancelled due to the Russian President alleged threats to use nuclear weapons in the Ukraine war.

“The meeting between New Delhi and Moscow is not taking place due to scheduling issues,” the sources said adding that the decision has nothing to do with the ongoing Ukraine conflict.

India, Russia to discuss Afghanistan crisis at NSA level meeting. (Credit : Facebook)

Since 2000, India and Russia have maintained an annual summit mechanism. The last annual summit was held at the Hyderabad house in New Delhi in December 2021 in which Putin had attended in person and this year PM Modi was slated to travel to Moscow for the summit.

Due to COVID-19, in-person summits were not held in 2020.

In 2021 PM Modi, and Putin held their first 2+2 Ministerial Dialogue and also signed an agreement for the procurement of 6,01,427 assault rifles AK-203 through Indo-Russia Rifles Pvt Ltd, under the military-technical cooperation arrangement for 2021-31. The India-Russia 2+2 Dialogue marked the first 2+2 meeting between the foreign and defence ministers of the two countries.

In September this year on the sidelines of the Shanghai Cooperation Organisation (SCO) summit in Uzbekistan’s Samarkand when the two leaders met for a bilateral meeting, PM Modi told President Putin that this was “not an era of war.” This statement by PM Modi also was cited in the G20 Summit in Indonesia’s Bali.

In November this year, External Affairs Minister S Jaishankar visted Moscow and held talks with his Russian counterpart Sergey Lavrov in which Jaishankar raised concern about the consequences emanating from the Ukraine conflict that have affected energy and food security around the world.

Holding the press briefing with Lavrov, Jaishankar said he exchanged views on international issues with the Russian side, in which the Ukraine conflict was the dominant feature.

On November 17, Russian Deputy Foreign Minister Sergey Vershinin was received in New Delhi by Vinay Kwatra, India’s Foreign Secretary and held extensive foreign policy consultations with Sanjay Verma, Secretary (West). Following the talks India and Russia agreed to “deepen cooperation” on counter-terrorism issues and “enhance bilateral coordination” at the United Nations.

India and Russia has also held wide-ranging discussions on issues on the United Nations Security Council agenda and recent developments, according to a statement by the Russian Foreign Ministry.

Vershinin congratulated India on its upcoming Presidency of the UN Security Council in December 2022. (ANI)

ALSO READ: Modi made 36 foreign visits in 5 years

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Anger as Austria blocks Romania from joining EU’s passport-free zone

The European Commission, in charge of assessing Schengen candidacies, has said the two countries are ready to become part of the passport-free area since at least 2011…reports Asian Lite News

Austria has blocked the accession of Romania and Bulgaria into Schengen, the passport-free area that has abolished border checks between the vast majority of EU member states.

The Netherlands supported Romania’s bid but opposed Bulgaria’s.

Croatia, however, received unanimous backing and will join the Schengen Area as of January 2023.

The votes took place in Brussels on Thursday afternoon during a high-stakes meeting of interior ministers.

Romania and Bulgaria “are fulfilling all the requirements. They have been waiting for a long time. The citizens of Bulgaria and Romania deserve to be fully part of the Schengen area,” Ylva Johansson, European Commissioner for home affairs, said after the meeting.

“I thought, actually, that we would have the decision today. So, I think that today is a day of disappointment.”

The negative conclusion, which was widely expected, represents a painful political defeat for both Romania and Bulgaria, who joined the European Union six years before Croatia.

The European Commission, in charge of assessing Schengen candidacies, has said the two countries are ready to become part of the passport-free area since at least 2011.

The executive released another unconditional endorsement just last month, while the European Parliament passed a new resolution denouncing the exclusion as “discriminatory.”

Over the past few years, countries that were previously opposed to Schengen enlargement, such as Finland, Denmark, Sweden and Belgium, softened their positions, increasing the odds of a positive outcome.

France and Germany, the bloc’s most influential states, voiced their support for Romania and Bulgaria this year.

But none of this was enough to overcome the Austrian and Dutch reticence.

As Schengen accession requires unanimity, the small minority managed to block the whole process. The debate on Thursday took “longer than expected,” said an EU diplomat, describing “certain bitterns in the room” once the result became clear.

Austria’s opposition, which has surprised many in Brussels as it only emerged in recent weeks, is based on a new influx of asylum-seekers through the Western Balkan route.

“The system is currently not working. Austria got (this year) more than 100,000 illegal border crossings, 75,000 of them not registered, although we are inland country, in the middle of Europe – in the middle of the Schengen countries,” said Austrian Interior Minister Gerhard Karner.

“The system doesn’t work. This means that we first have to significantly improve the system at this point. Therefore, I am in favour of postponing the vote and including these countries accordingly”.

Bucharest has vehemently countered Vienna’s claims, arguing Romania is not part of the Western Balkan route and that several reports issued by the European Commission and fact-finding missions of experts have proven the country is well prepared to manage its external borders.

Frontex, the EU’s border control agency, does consider Romania and Bulgaria to be part of the Western Balkan route, a spokesperson told Euronews. In the first 10 months of this year, the path has seen more than 128,000 border-crossing incidents, a 168% rise compared to the same period in 2021.

For its part, the Netherlands voted against Bulgaria’s accession bid over what it calls unaddressed rule-of-law concerns and pending pieces of legislation to tackle corruption and organised crime.

Bulgaria, which has had a caretaker government since August after a series of inconclusive elections, challenged these claims and said the opposition was unrelated to the Schengen criteria.

“Two member states expressed reservations but they don’t have any particular concerns with relations to Schengen,” Bulgarian Interior Minister Ivan Demerdzhiev said at the end of the meeting, noting his country was ready to take the “necessary steps” to convince its skeptical partners.

“The argument of Austria is that Schengen is not working and we must unite our efforts to make Schengen work as it has to, and then enlarge it with Bulgaria and Romania. Until then, Bulgaria is not responsible for the internal problems in Austria.”

ALSO READ: 15 oil vessels blocked at Turkish Straits amid EU sanctions

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Anti-corruption operation sends shockwave through Brussels

Greek Socialist MEP Eva Kaili, one of 14 vice presidents at the European legislative body was arrested. She was suspended from the party at the Parliament….reports Asian Lite News

An anti-corruption investigation into the European Parliament has sent shockwaves through Brussels, prompting strong reactions from EU officials.

Five people were arrested on Friday in Brussels after investigators made 16 searches into suspicions of “substantial” money payments by a Gulf country to influence the decisions of MEPs.

Greek Socialist MEP Eva Kaili — one of 14 vice presidents at the European legislative body — was arrested. She was suspended from the party at the Parliament.

The Belgian federal prosecutor’s office did not name the country, but a source close to the issue confirmed to AFP that it was Qatar, which the Le Soir and Knack media also reported.

“This is not an isolated incident,” said Transparency International. “For several decades, [the European] Parliament has allowed a culture of impunity to develop … and a total absence of independent ethical control”.

Roberta Metsola, President of the European Parliament tweeted that the EU body “stands firmly against corruption”.

“At this stage, we cannot comment on any ongoing investigations except to confirm that we have and will cooperate fully with all relevant law enforcement and judicial authorities,” she added. “We’ll do all we can to assist the course of justice.”

The allegations come at a sensitive time for Qatar as it hosts the World Cup. The Gulf State has already had to battle against claims around alleged human rights abuses of migrant workers and the LGBT+ community.

Qatar denies these allegations, with Emir Sheikh Tamim bin Hamad Al-Thani saying his country has been the target of an “unprecedented” smear campaign.

The hearings of five suspects were ongoing in Brussels on Saturday, according to a spokesman for the federal prosecutor’s office.

Kaili — formerly a news anchor —  was suspended from the Socialists and Democrats (S&D) in the European Parliament “with immediate effect” on Friday, according to a statement shared by the group.

European Parliament sources told Euronews that Kaili’s office had been sealed by Belgium police on Friday, along with those of two Belgian socialist MEPs, Maria Arena and Marc Tarabella.

Arena denied any involvement, stating that the investigation involved her assistant instead.

“The seals were put because she worked for the NGO Fight Impunity, I believe, in 2019,” Arena told Le Soir. “It has nothing to do with the fact that she is my assistant.”

Media outlets in Greece and Belgium reported that one of those arrested is Kaili’s partner.

On Saturday the Belgian newspaper L’Echo claimed that “several bags full of banknotes” were discovered at Kaili’s Brussels home. Police searched her house after allegedly finding her father in possession of a large amount of cash in “a suitcase”.

The Greek socialist party PASOK, of which Kaili is a member, announced on Friday evening that she was “expelled” from its membership.

Belgium’s Federal Prosecutor’s Office said it recovered €600,000 in cash and seized computers and mobile phones in Friday’s swoop.

“For several months, investigators of the Federal Judicial Police have suspected a Gulf country to influence the economic and political decisions of the European Parliament, this is done so by paying large sums of money or offering large gifts to third parties with a significant political and/or strategic position within the European Parliament,” it said.

The beneficiaries are personalities with “a significant political and/or strategic position” in the European Parliament.

The arrested quartet are all believed to be Italian citizens: director of No Peace Without Justice NGO Niccolò Figà-Talamanca; trade union leader Luca Visentini; the former S&D MEP Pier-Antonio Panzeri; and parliamentary assistant in the S&D group and Kaili’s partner, Francesco Giorgi, according to Italian news agency ANSA.

Kaili, 44, has been an MEP since 2014.

The centre-right European People’s Party (EPP), the largest in the hemicycle, said that “no stone should be left unturned” in the ongoing investigation.

“There is no place for corruption anywhere in the EU. The authorities have our full support,” the group said.

The Greens MEP from Germany, Anna Cavazzini, shared her surprise about Kaili’s arrest on Twitter.

“This is quite shocking if suspicions come true,” Cavazzini tweeted. “I heard her very pro-Qatar speech (at the) plenary and was extremely surprised about it.”

ALSO READ: 15 oil vessels blocked at Turkish Straits amid EU sanctions

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UP invites Indian biz leaders in Germany to Investors’ Summit

The delegation from Uttar Pradesh met notable India business leaders before the Investor roadshow in Germany on December 8 at Frankfurt, reports Asian Lite News

 The Uttar Pradesh government’s outreach to Indian diaspora, ahead of the Global Investors’ Summit 2023, is evoking a good response.

A delegation that includes UP Industry Minister, Nand Gopal Gupta and PWD minister Jitin Prasada participated in a roadshow in Frankfurt, Germany, on Friday.

Additional chief secretary Navneet Sehgal, who is accompanying the delegation, said in a release that Indians here are quite enamoured by progress made by UP in the past six years.

The delegation from Uttar Pradesh met notable India business leaders before the Investor roadshow in Germany on December 8 at Frankfurt.

He said that the Indian Business community in Frankfurt was invited to expand their business in Uttar Pradesh and join the State in the UP Global Investors’ Summit 2023.

(Photo Twitter@NandiGuptaBJP)

Delegations are visiting various countries as a precursor to the upcoming UP Global Investors’ Summit 2023 and the state government is reaching out to investors through Investor Connect Roadshows in some 18 Countries and 7 Key India cities, to propagate the investment attractiveness of Uttar Pradesh and garner investment intents.

Business leaders from India are being requested to choose Uttar Pradesh as their investment destination in India. Investments in sectors such as Logistics, Textile, Healthcare & Pharma, Tourism, Automotive & EV, and opportunities in Skill Development & Skilled-labour Exchange were discussed.

In an initiative to achieve the ambitious target of making the State a trillion-dollar economy in the next five years set by UP chief minister Yogi Adityanath, the Uttar Pradesh Global Investors Summit (UP-GIS) 2023 is being organised from 10 to 12 February 2023 in Lucknow.

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15 oil vessels blocked at Turkish Straits amid EU sanctions

Turkey announced its own new insurance regulation before the EU price cap decision, and several tankers so far have been stopped from entering Turkish waters…reports Asian Lite News

Fifteen oil tankers were banned from passing through the Turkish Straits due to a lack of proper insurance amid the European sanctions on Russian oil, Turkey’s maritime authority said.

The Protection and Indemnity (P&I) insurance of these ships is invalid due to the EU sanctions and such insurance cannot be compensated in the event of an accident, the Turkish General Directorate of Maritime Affairs said on Thursday in a statement.

“Crude oil tankers that cannot offer valid P&I insurance are not allowed to pass through the Turkish Straits and this rule has been in effect since 2002,” said the statement, adding it would continue to block the passage of oil tankers without appropriate insurance letters.

The authority noted that Turkey was not obliged to implement sanction decisions of other countries and international organisations, except those taken by the UN Security Council, Xinhua news agency reported.

“However, we do not take the risk that the insurance company will not cover its liability in the event of a catastrophic accident that may occur if a sanctioned ship or a cargo passes through the Turkish Straits,” it said.

Since December 1, Turkey has started to seek confirmation from the insurance companies that the crude oil tankers to pass through the Turkish Straits are fully insured, the statement added.

The EU’s sanctions on Russian oil, which came into force on Monday, prohibit tankers transporting Russian crude from accessing European maritime insurance unless the oil is sold for $60 per barrel or less.

Turkey announced its own new insurance regulation before the EU price cap decision, and several tankers so far have been stopped from entering Turkish waters.

Turkey has avoided calls by the US and its Western allies to join the anti-Russian sanctions over the Ukrainian crisis.

ALSO READ-Heated exchange between India, China over vessel in Lanka

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West’s $60 per barrel Price cap leaves Russia in economic shock

Russia is thinking over options on how to counter the price cap, including banning oil sales to some countries…reports TN ASHOK

Russias Central Bank has warned the country is awaiting “new economic shocks” with the price cap on crude at $60 per barrel and EU’s oil embargo, which can significantly reduce economic activity in the near future.

Consequently, Russia is thinking over options on how to counter the price cap, including banning oil sales to some countries, media reports said.

While the Kremlin’s ruling hierarchy led by President Vladimir Putin’s skepticism over the West’s several economic sanctions, financial analysts at the country’s central bank predicted “new economic shocks”, in the wake of the $60 per barrel price cap on Russian oil and the European Union’s ban on the country’s crude.

The European Union, G7, and Australia have fixed the price on Russian crude which kicked in on Monday. On top of that, the EU has also banned all Russian crude that are seaborne.

Both measures could “significantly reduce” Russia’s economic activity in the coming months, analysts at the Russian central bank’s research and forecasting department said in a report on Wednesday. They, however, stated that their findings could differ from an official stand taken by the institution.

Europe alarmed after Russian gas major Gazprom halts supplies again.(photo:IN)

The EU sanctions created a certain amount of uncertainty and restrictions that came just as Russia’s economy successfully overcame a short-term decline caused largely by President Putin, who mobilised men for the Ukraine war in October, according to the central bank. The bank’s analysts attributed the short-term recovery to an increase in government orders of goods.

Russia’s crude oil production could decline in the longer term as western price cap and import restrictions on Russian oil could curtail the country’s economic activity in the short term, media reports said.

Russia’s oil production dipped in October, and the bank’s analysts said the country’s oil economics is highly-dependent on the effect of various restrictive measures on the part of the so-called unfriendly countries.

Moscow has denounced the West’s price cap on its oil exports and is still working on a response to the restrictions, Kremlin spokesman Dmitry Peskov said on Wednesday, according to state-owned news agency RIA Novosti.

Among the various options being considered by Russia to counter the price cap includes banning oil sales to certain countries and setting a maximum price discount for its flagship Urals crude against Brent oil, Russian business daily Vedomosti said on Wednesday, quoting two sources close to the cabinet.

ALSO READ: EU’s fresh sanctions target Russia’s armed forces