The British government blocked most of a $100,000 charitable donation intended to support the welfare of Ukrainian children, approving funds for Ukraine while rejecting the portion designated for those now being cared for in Israel.
The donation was proposed by businessman Eugene Shvidler, who has been under UK sanctions since 2022 following Russia’s invasion of Ukraine. Shvidler, a British and American citizen born in the former Soviet Union, has never held Russian citizenship and has not visited Russia since 2007. He has challenged his designation through ministerial reviews and appeals to the UK Supreme Court and the European Court of Human Rights.
The funds were intended for the Alumim Children Center, a Jewish educational and welfare organization originally based in Zhytomyr and founded by Rabbi Shlomo and Esther Wilhelm. The center focuses on education and community support.
Following the outbreak of war, it relocated part of its operations to Ashkelon, where it provides housing, care, and support for Ukrainian children evacuated from Ukraine, including many from vulnerable or unstable home environments. It continues to operate in Zhytomyr, supporting the remaining local Jewish community.
Under UK law, sanctioned individuals may access frozen funds for humanitarian purposes if they receive a license from the Office of Financial Sanctions Implementation (OFSI), part of HM Treasury. The regulations allow charitable payments without geographic limitation, subject to approval.
According to documents provided to The Jerusalem Post, Shvidler’s legal team first applied for a license on September 15, 2025, to transfer the full $100,000 to the organization. On December 19, OFSI rejected the application, requesting more details on how the funds would be split between activities in Ukraine and Israel.
A revised application submitted on January 22, 2026, specified that $20,000 would go to operations in Ukraine and $80,000 would support Ukrainian children now residing in Israel. The application cited UK regulations permitting humanitarian assistance globally, as well as prior government statements supporting aid to Ukrainian refugees outside Ukraine.
OFSI approved $20,000 for Ukraine, rejected $80,000 Israel
On April 17, OFSI approved the $20,000 designated for Ukraine but rejected the $80,000 intended for Israel. In its decision, the agency argued that allowing funds to be used in Israel could undermine the purpose of the sanctions regime, stating it risked “diverting frozen funds away from the purpose for which they were frozen, namely encouraging… Russia to alter its behavior.”
The ruling effectively blocks funding for displaced Ukrainian children currently being supported outside Ukraine, including those who have been relocated due to the war.
The case comes amid broader scrutiny of the UK’s sanctions decisions. A March report by the Financial Times cited internal government correspondence indicating that Shvidler’s 2022 designation was driven by political urgency. According to the report, officials initially identified him after a social media post highlighted his private jet landing in the UK. Then-transport secretary Grant Shapps pushed to ground the aircraft, despite internal assessments that Shvidler had no formal ties to Russia and posed a low risk.
The report also said civil servants raised concerns about the legal basis for the move, warning it could lead to reputational damage. Despite this, political pressure increased, and the Foreign Office fast-tracked the designation under Liz Truss.
The UK government has not publicly commented on the specific decision regarding the donation.