Russia must compensate losses of Ukrainian firms, Hague arbitration court rules

The Russian government must compensate 18 Ukrainian
companies for their losses incurred from the illegal annexation of Crimea based
on a May 2 ruling reached by the Permanent Court of Arbitration in the Hague,
the UNIAN news agency reported on May 9. It was the first court ruling that
required Russia to compensate the victims of its illegal acts of aggression in
Ukraine. Russia assumed responsibility for the damages, estimated at USD 159
mln, when President Putin signed on March 21, 2014 the order to annex the
Crimean peninsula.

Zenon Zawada: This is
merely the first ruling in what will be many requiring the Russian government to
take responsibility for its illegal, violent actions in Ukraine. While justice
needs to be pursued in this manner, the looming specter of such payments – let
alone criminal charges – will only prompt the Russian government to double down
in its resistance and hostility towards the global community. This is why we
expect Russia’s aggression in Ukraine can conclude in only two outcomes – the
collapse of the Putin administration (and perhaps the Russian Federation) or
war on a continental scale. And we lean towards war as the more likely outcome,
unfortunately, though than can certainly lead to Putin’s downfall as well.