REUTERS
Russia's energy giant Gazprom does not rule out that it may be subject to the risk of potential litigation over the payment of compensation to former shareholders of the Yukos company, according to Gazprom's Programme for the Issuance of Loan Participation Notes.
"Recent arbitral awards rendered against the Russian Federation in Hulley Enterprises Limited (Cyprus) v. Russian Federation, Yukos Universal Limited (Isle of Man) v. Russian Federation and Veteran Petroleum Limited (Cyprus) v. Russian Federation (the Arbitration Proceedings) may subject us to the risk of potential litigation, enforcement or execution proceedings," the company said in the programme's Risk Factors section.
The company noted it would consider any potential claim against it regarding the arbitration proceedings as "unsubstantiated."
"We may have to be involved in litigation relating to the Arbitration Proceedings if the claimants attempt to seize our assets. If we are unsuccessful in defending against such claims, some of our assets may be seized, which would have adverse effect on our business, financial condition and results of operations," Gazprom.
In the summer of 2014 a Hague court ordered Russia to pay over $50 billion in compensation for the indirect expropriation of OAO Yukos Oil Company's assets.
In June 2015, French and Belgian law enforcement authorities began executing court decisions by arresting Russian-owned property.