19 Feb 2020 13:27

Russian Justice Ministry, other agencies studying Hague court decision on Yukos, tactics for appealing this decision - Peskov

MOSCOW. Feb 19 (Interfax) - The Hague court decision on the payment by Russia of $50 billion to former Yukos shareholders is now being analyzed, Russian presidential press secretary Dmitry Peskov said.

"Our relevant agencies, in the first place, the Justice Ministry, are now studying the circumstances of this case and also the tactics of defense, for appealing this decision. Currently at the stage of analysis," Peskov said.

On February 18, The Hague Court of Appeal compelled Russia to pay $50 billion to former Yukos shareholders.

In 2005, Hulley Enterprises (Cyprus) and Yukos Universal Ltd. (the Isle of Man), both the subsidiaries of Group Menatep Limited, which jointly had a 51% stake in Yukos, filed a claim against Russia with the Hague court, demanding that $28.3 billion in damages be awarded. The total amount of claims against Russia, including the claim lodged by the Yukos pension fund Veteran Petroleum Ltd., was $33.1 billion. The amount claimed increased as time passed.

The Permanent Court of Arbitration upheld those companies' claims in July 2014 and compelled Russia to pay $50 billion. Russia filed three appeals to overrule arbitration judgments with the District Court of The Hague in November 2014. Nevertheless, former Yukos shareholders refused to wait for a decision on the Russian appeal and initiated the enforcement of the ruling by courts of the United States, France, Belgium, Germany, and the United Kingdom in June-August 2015.

The District Court of The Hague repealed the arbitration rulings on April 20, 2016. It upheld Russia's appeal on the basis of one out of six arguments: it believed that the argument sounded convincing and did not waste time on hearing the other five.

Afterwards, all lawsuits filed to seize Russian assets in Germany, India, France, and Belgium were either withdrawn by plaintiffs or dismissed by judges in those countries.

Currently, the enforcement proceedings against Russia initiated by former Yukos shareholders, have been either suspended or terminated.