Court orders Russia to pay $50 billion in Yukos case

[NickB79]

Source: Houston Chronicle

LONDON - Russian President Vladimir Putin's government must pay $50 billion for using tax claims to destroy Yukos, once the country's largest oil producer, and its Kremlin-critical CEO, an international court has ruled.

Monday's verdict by the Permanent Court for Arbitration increases the economic and diplomatic isolation of Russia at a time when it faces new, potentially painful sanctions from Western powers.

The court, a body that rules on corporate disputes, said the Russian government owes the money - a huge sum, even for such an oil-rich nation- to the former majority shareholders in Yukos Oil Co.

Moscow vowed to fight the decision, raising the prospect of a new round of legal battles as the shareholders seek to enforce the decision by seizing Russian state-owned assets in 150 countries around the world.

Read more: http://www.houstonchronicle.com/business/article/Court-orders-Russia-to-pay-50-billion-in-Yukos-5652898.php

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The article states that Russia has 180 days to pay up, or risk having assets outside Russia seized by shareholders.

Good. Putin used trumped-up charges to destroy his only substantial challenger to his authoritarian rule, and now he has to pay for it.

[Berlin Expat]

1. 180 days

is a bit generous.

I'd have given them 48 hours.

OK.....one week. But only because I'm a softie.

[Purveyor]

3. In 180 days, europe will need Russian gas to keep warm and cook. This

should be quite interesting by then, indeed.

[Berlin Expat]

5. Europe has built

up some decent reserves. It certainly helped that the winter 2013-2014 was quite mild overall, with temps above average. Meteorologists here are forecasting another mild winter this year as well, so that will hopefully keep the Russian bear at bay.

What's most important in terms of European gas supplies would be the fall of Assad, and it seems - for the time being at least - the fortunes of war are turning against him. Assad's fall would be the end of Russia's naval base in Syria, and with any luck, the trans MidEast gas pipeline running from Qatar to Europe via Turkey would get built. If that could be done, Europe would be in a far stronger position vis-a-vis Russia.

Of course, the Poles are now fracking and are apparently sitting on huge potential reserves; enough to supply Europe. That puts further pressure on Russia, economically speaking.

[Tarheel_Dem]

2. I heard an interview with the plaintiff's lawyer yesterday, and sounds like they can slap liens on

pretty much any assets the Russian government owns, inside & outside the country.

[pampango]

4. ITAR-TASS: Russia to appeal ruling of The Hague Arbitration Court — Finance Ministry

Russia will appeal the ruling of Permanent Court of Arbitration in The Hague, Russia's Finance Ministry has stated on Monday. Russia will seek annulment of the Hague arbitration court ruling on Yukos, Deputy Finance Minister Sergei Storchak said. “It will be the annulment and contesting procedure in order to annul it [the court ruling],” he noted.

The Permanent Court of Arbitration in The Hague passed a ruling on Monday, obliging Russia to pay $50 billion in compensation to former shareholders of the now defunct oil firm Yukos.

http://en.itar-tass.com/economy/742610

[NickB79]

6. "Hey Boris, let's appeal this ruling to the Hague, in the Netherlands!"

"Good thinking Vlad! Wait, where did that airliner we helped shoot down originate from?"
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"Fuuuuuuuuuccccckkkk"