Igor Makarov, a billionaire who renounced his Russian citizenship and is now a citizen of Cyprus and Moldova, has filed a claim at the International Centre for Settlement of Investment Disputes seeking at least US$250 million in compensation from the Government of Canada after Ottawa refused to remove him from its sanctions list. The filing was reported by Global Arbitration Review.
The request for arbitration has been lodged by Makarov’s legal advisers, who argue that Canada’s decision to keep him on the sanctions list has caused significant financial harm. Makarov previously challenged his designation before Canada’s courts without success and subsequently notified the authorities of his intention to pursue a treaty claim under Canada’s bilateral investment treaty with Moldova.
The sanctions were imposed by Canada in response to Russia’s full scale invasion of Ukraine and include the freezing of assets and restrictions on financial transactions. Makarov maintains that he severed ties with Russia years earlier, including formally renouncing his Russian citizenship in 2023, and says Canada’s refusal to delist him wrongly subjects him to the effects of the measures.
Under Canada’s sanctions regulations, Canadian entities are prohibited from providing financial services to listed individuals, and any assets they hold in Canada are frozen. The arbitration seeks compensation for losses linked to blocked investments and other financial damage that Makarov says resulted from the restrictions.
The Government of Canada has not publicly commented on the arbitration. Legal observers cited by Global Arbitration Review say the case could test the extent to which investment protection obligations apply when states impose sanctions as part of their foreign policy, particularly where an investor has changed nationality.