The court of Paris allowed the forced recovery of $5 billion from the Russian Federation in favor of Naftogaz
The Court of Paris granted permission for the enforcement of the decision of the Hague Arbitration regarding the compensation of damages in the amount of 5 billion dollars caused by the illegal expropriation of the assets of the Naftogaz Group in Crimea. About this informs Naftogaz press service.
“This result is part of our global campaign to enforce the arbitration award,” — Roman Chumak, head of Naftogaz Group, explained.
He noted that the decision allows the company to start the recovery process on the territory of France. “Naftogaz” has already taken the first step towards the implementation of the arbitration decision — within the framework of this process, the company registered encumbrances on a number of assets belonging to the Russian Federation and located in France, with a total value of more than 120 million euros.
“Naftogaz” continues to take all necessary measures to bring the moment of implementation of the arbitration decision closer.
“We have already had some success in several other jurisdictions, in particular in Great Britain and Finland. We are determined to collect the full amount of compensation and protect the rights of Ukrainian state-owned enterprises in the international arena.” Chumak emphasized.
It will be recalled that in October 2016, Naftogaz initiated arbitration proceedings against Russia, demanding compensation for the illegal seizure of the Group’s assets, which was carried out in violation of the bilateral investment protection agreement between Ukraine and Russia.
After a lengthy hearing, on April 12, 2023, a tribunal formed under the auspices of the Permanent Chamber of Arbitration (PCA) in The Hague, consisting of Judge Ian Binney (C.C., K.C.), Dr. Charles Poncet and Dr. Maia Stanivukovich, ordered Russia to pay Naftogaz more than $5 billion for breach of contract.
This amount, for which the final arbitration decision has already been issued, is the largest among all investor lawsuits initiated by Ukrainian companies in connection with Russia’s illegal actions in Crimea.
