Irish firm claims it was wrongly sanctioned by US for Russia links

High-Court News

Irish firm claims it was wrongly sanctioned by US for Russia links
Aib
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Dublin-registered semiconductor company Cubit claims its dealings with a Russian entity led to sanction and AIB move to freeze its bank accounts

An Irish company which claims it has been wrongly sanctioned by US president Joe Biden for dealing with a Russian entity has launched High Court proceedings over AIB’s decision to freeze its bank accounts.

In late March, 2022, it claims a courier was engaged to pick up goods for Mikron from Cubit’s Korean office. The goods were not collected until April 4th, 2022. Cubit claims that, after it was included on the list, AIB informed it of its intention to close its accounts. It also suspended or froze its accounts, Cubit claims.

As a result of AIB’s action it is claimed that the company cannot deal with parties that owe it money and cannot pay its suppliers or its five employees their salaries. The bank cannot lodge those funds with another bank and its directors cannot open personal accounts with other banks due to the US sanctions, counsel said.

In its proceedings against AIB plc Cubit seeks various orders including injunctions, prohibiting the bank from continuing to freeze or suspend the accounts, or from closing the accounts.

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