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Russia’s ‘Blood Oil’ Team: Oligarch Sanction Scrutiny

Nabila by Nabila
June 10, 2026 | 14:51
in politics
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The ongoing full-scale Russian invasion of Ukraine, now in its 1557th day, continues to inflict devastating consequences. Kyiv recently endured a significant retaliatory attack, with Russia deploying nearly 600 drones and 90 missiles, a substantial portion of which targeted the capital. Over the course of the conflict, thousands of Ukrainian civilians have tragically lost their lives, and numerous cities and towns have been reduced to rubble. There is currently no discernible end in sight, as Russia escalates its rhetoric and military actions, while global attention is increasingly diverted to other geopolitical events.

Despite these challenges, robust international backing for Ukraine, including strong support from Australia, has consistently been perceived by the Kremlin as a formidable impediment to its war objectives. This sustained pressure on Russia is crucial and must be maintained.

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However, a contentious decision to permit Russia’s national water polo team to compete in Sydney has placed the Australian federal government in a precarious position, presenting both legal and diplomatic quandaries in light of existing sanctions laws. Reports indicate that these Russian athletes have alleged ties to organisations and oligarchs that are currently subject to sanctions. These entities are reportedly involved in either funding the teams the athletes represent back home or are otherwise connected to associated sporting bodies.

Russian Water Polo Team’s Controversial Sydney Appearance

The Russian women’s national water polo team is scheduled to participate in the World Cup at the Sydney Olympic Park Aquatic Centre in July. Significantly, they are slated to compete under their national flag, anthem, and colours. This development follows a decision by World Aquatics in April to overturn an earlier ban imposed on Moscow. The inclusion of the Russian team marks one of the most prominent instances of national Russian representation returning to international sport since the full-scale invasion of Ukraine commenced. This decision has already prompted several European nations to boycott events.

The Australian Federation of Ukrainian Organisations (AFUO) is strongly advocating for a thorough investigation into the visa and security arrangements for all Russian athletes, officials, and support staff travelling to Sydney. Their primary concern is to ascertain whether any individuals or entities involved have connections to those already targeted by Australia’s sanctions regime.

Kateryna Argyrou, Chair of the AFUO, emphasised that Russia’s participation in sporting events cannot be divorced from its ongoing war against Ukraine. She highlighted the documented use of elite sport by President Putin’s regime as a “tool of propaganda, prestige and international legitimisation.” Argyrou further warned that allowing Russia to compete risks undermining the principled stance Australia has consistently adopted in support of Ukraine.

Australia’s Commitment to Ukraine and Sanctions

The Australian federal government has been a staunch supporter of Ukraine, imposing sanctions on over 1300 individuals and hundreds of entities linked to Russia. The government has consistently framed its support for Ukraine as a defence of international law and democratic principles.

Australia’s commitment to Ukraine is substantial, totalling over $1.7 billion in total assistance since the conflict began. This includes more than $1.5 billion in military support, positioning Australia as the largest non-NATO contributor of military aid. Beyond financial and military assistance, Australia and Ukraine have been actively engaged in discussions for several months regarding a bilateral security treaty, aimed at deepening collaboration between the two nations across various sectors.

While the Department of Foreign Affairs and Trade declined to comment on any potential sanctions compliance actions, they did affirm their opposition to the sporting decision that permits Russia’s participation.

Government’s Urgent Next Steps

The Albanese government is urged to act swiftly. A critical next step involves a comprehensive investigation into the circumstances surrounding the Russian athletes and their accompanying entourage, both directly and indirectly involved in the Sydney tournament. This investigation is vital to ensure strict adherence to and no breaches of the sanctions currently imposed by Australia.

Russia’s return to the Sydney tournament is viewed by some as a potential harbinger of their full reintegration into future international sporting competitions, including the Olympic Games in Los Angeles in 2028 and potentially the 2032 Brisbane Games.

The International Olympic Committee (IOC) has recently recommended the lifting of restrictions on Belarusian athletes, while simultaneously maintaining sanctions against Russia, ostensibly linked to anti-doping concerns. However, the IOC has also stated that “athletes’ participation in international competition should not be limited by the actions of their governments, including involvement in a war or conflict.”

Maintaining Pressure and Vigilance

As long as Russia continues its aggression against Ukraine, targeting its people, land, and sovereignty, there must be no wavering in the global approach towards President Putin. This includes the steadfast application of sanctions, consistent condemnation, rigorous scrutiny, and an absolute refusal to grant legitimacy, even through the venue of sporting events. Allowing such participation risks opening a “Putin-backed wedge” and is akin to dealing with “blood oil” that directly funds the war in Ukraine. Continued vigilance and a firm stance are paramount.

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