MOSCOW, May 20. /TASS/. Russia’s Ninth Arbitration Court of Appeal has ruled that the Euroclear Bank must pay approximately 32 billion rubles ($448 mln) to Management Company Pervaya (formerly Sber Asset Management) as part of a lawsuit filed by the firm, says the case file published in the arbitration case database.
Meanwhile, the Bank of Russia has appealed to the Moscow Arbitration Court to immediately enforce the ruling in its own lawsuit against Euroclear.
TASS has compiled the main facts surrounding the cases.
Court decision on Pervaya Management Company's lawsuit
- According to the case database, the appellate court partially upheld Pervaya Management Company's claims and ruled that Euroclear must pay it approximately 32 billion rubles ($448 mln). The company’s initial ask was over 184 billion rubles ($2.5 bln).
- The claim amount includes the ruble equivalent of the value of foreign securities, accrued income on them, lost income from reinvesting income from securities, and the management company's lost remuneration as a trustee.
- In July 2023, Pervaya Management Company filed a lawsuit in the Moscow Arbitration Court to protect the rights and interests of the company's clients whose assets were frozen.
Bank of Russia asks Moscow court to enforce ruling ASAP
- The Bank of Russia has filed a petition with the Moscow Arbitration Court to immediately enforce the May 15 ruling on its 18.2 trillion-ruble lawsuit against Euroclear, according to court documents.
- The day before, Deputy Chairman of the Bank of Russia Alexey Guznov announced that the Central Bank would determine steps regarding EU assets after the court's ruling on Euroclear enters into force.
- On May 18, Euroclear announced that, despite the Moscow Arbitration Court’s ruling, the Central Bank of Russia's assets would remain frozen at Euroclear Bank "in line with the international sanctions."
Court decision on the Central Bank's claim
- On May 15, the Moscow Arbitration Court upheld the Central Bank of Russia's claim against Euroclear Bank for 18.2 trillion rubles ($254 bln). The EU plans to use frozen Russian assets to finance Ukraine.
- This amount includes frozen funds, the value of the frozen securities, and lost profits.
- The case was heard behind closed doors due to the presence of commercial secrets.
Reaction to the decision
- The Central Bank of Russia is satisfied with the court's ruling that Euroclear's actions were illegal, the regulator's press service told TASS.
- The Euroclear depository announced its intention to appeal the decision. Florian Philippot, leader of the French Patriots party, stated that the Moscow Arbitration Court's ruling on the Russian Central Bank's lawsuit against the Euroclear depository has caused quite a panic in Brussels.
- According to the French politician, the decision was a very clever move by the Russian leadership.