Russia approved a draft treaty to formally take over Crimea, Tuesday, after the autonomous region overwhelmingly voted for reunification with the former Socialist bastion this Sunday.

President Vladimir Putin recognized Crimea as an independent and sovereign state Monday night, defying sanctions imposed by the European Union, the United States and Canada. His decision comes after 97 percent Crimeans voted in favor of joining Russia.

He is expected to address an assembly of both houses of parliament, regional chiefs and public organizations representatives, Tuesday, in a nationally televised speech. He will discuss about Crimea's request to join the Russian Federation. The formal course of action to encompass Crimea in the Russian fold will take a few weeks.

Initial sanctions imposed by the U.S. froze assets and banned travel for 11 Russian and Ukrainian figures that included one of Putin's most influential advisors, Vladislav Surkov; the Russian deputy prime minister Dmitri O Rogozin; and the chairwoman of the Federation Council and the upper house of Russian Parliament, Valentina I Matviyenko. The EU imposed sanctions against 21 Russian and Ukrainian officials.

The U.S. President Barack Obama warned Putin of serious consequences following Russia's annexation of Crimea. "We're making it clear that there are consequences for their actions," Obama said announcing the sanctions, reports The New York Times. "We'll continue to make clear to Russia that further provocations will achieve nothing except to further isolate Russia and diminish its place in the world."

Laughing off the financial sanctions imposed by the West, members of the State Duma, or lower house of parliament, said they were rather proud of the sanctions.

Condemning the West's reaction, Olga Batalina of the ruling United Russia party said the US maintained double standards policy. "The U.S. has gotten so absorbed with playing the policy of double standards that it has stopped distinguishing black from white and patriots from fascists. They are so convinced of their own impunity that they allow themselves to pursue any stance just for the sake of it," Batalina said, reported the Washington Post.

Crimea, an autonomous region dominated by Russian-speaking people, became part of Ukraine after the collapse of the Soviet Union in 1991.  Crimea's leadership refused to recognize Ukraine's new government after President Viktor Yanukovych was ousted last month.

New Cold War?

William Hague, the Foreign Secretary, warned that the EU would go beyond the sanctions imposed on 21 Russian and Crimean politicians or officials playing major roles in dividing Ukraine.

 "The important thing is that we are prepared to move to further measures and there will be long-term costs and consequences for Russia if they continue to approach things in this way," Hague said, He further threatened to reduce its energy reliance on Russia. "I would not describe it as a new Cold War, but that will depend on the course of events over the coming days," he told the BBC.

Ban Ki-moon, the  United Nations Secretary-General, said Monday that he was "deeply disappointment" with the Crimea referendum. He feared the growing animosity between Kiev and Moscow, Ban's spokesman said, according to the Voice of America.