VTB Bank loses law firm, may exit Europe: Sanctions update

Freshfields Bruckhaus Deringer announced Monday that the law firm was dropping VTB Bank as a client. Another law firm, Norton Rose Fulbright, said it would no longer take new business from the Russian bank and was considering severing ties as well.

Freshfields had represented VTB Bank in a lawsuit just last week. But on Monday, the firm said in a statement that it condemned the actions of the Russian government and "expresses our solidarity with all those affected. This approach goes beyond what is required to comply with our legal, regulatory and professional obligations, and reflects our values as a firm and the wider responsibilities of the global business community."

Over the weekend, the Financial Times reported that VTB Bank, Russia's second largest banks by asset size, may be winding down its European operations. And British Members of Parliament were urging major banks to shut their Moscow offices.

Related sanctions news:

• Radio Free Europe Shuts Down In Russia After Being Pushed Into Involuntary Bankruptcy (Wall Street Journal)
• London Bullion Market Bars Russian Gold Refineries (International Business Times)
• TikTok, American Express Co., Netflix Inc. and two of the Big Four accounting forms joined long list of companies suspending operations in Russia on Sunday (MarketWatch)
• American Express, PayPal join payments industry boycott of Russia (American Banker)
• Visa, Mastercard Suspend Operations In Russia (Business Insider)
• Russian Banks Turn to China to Sidestep Cutoff From Payments Systems (Wall Street Journal)
• Some Goldman Sachs Employees Moving Out of Russia to Dubai (Bloomberg)
• Russia's central bank has doubled interest rates, limited foreigners from moving money, and made other moves in response to Western sanctions (Business Insider)