The EU’s second highest court on Wednesday upheld sanctions against Russia’s second-largest mobile operator, citing the company’s direct support of the war in Ukraine. 

The General Court found MegaFon, which has more than 60 million subscribers in Russia, provided telecom services to the Russian military and in the occupied territories of Ukraine and could be targeted by the European Union. 

The company was contesting the 2023 restrictions which ban European companies from doing business with Russian companies and individuals who have supported the invasion of Ukraine. Brussels is currently targeting some 400 companies and 1,700 individuals with sanctions. 

MegaFon argued the European Council had failed to provide any justification for including the company on the sanctions list. The telecom giant was first sanctioned in February 2023, and the measures were extended in July 2023 and January 2024. 

The Luxembourg-based court found the council’s reasoning was sufficient. The five-judge panel noted that the EU had provided evidence of direct military support, but even without it, the sanction would have been justified.

It can be presumed to be common knowledge that one of the major telecommunications operators in the Russian Federation … participates in wartime in direct support for the military and industrial complex of that country,” judges wrote in the ruling, only available in French. 

Russians contesting the sanctions have had mixed success at the court. Last year, the court sided with Petr Aven and Mikhail Fridman, shareholders in Russia's key Alfa Bank, and found the sanctions against them were unfounded. 

In October, the court upheld a provision barring lawyers from providing legal aid to the Russian government and to individuals and businesses based in Russia on matters not connected to judicial proceedings.

The United States, the United Kingdom and others have also sanctioned Russia since it invaded Ukraine. Last week, the U.S. Treasury Department announced it would target Russian oil majors Gazprom Neft and Surgutneftegas as well as going after 180 oil tankers. 

MegaFon has two months to appeal the decision to the EU’s top court.