AFK Sistema asks court to cancel asset seizure in dispute with Rosneft
MOSCOW, August 7 (RAPSI) – AFK Sistema holding company has asked the Eighteenth Commercial Court of Appeals to lift an order seizing 185 billion rubles ($3.1 billion) on the request of Rosneft, RIA Novosti reported on Monday.
According to a representative of Sistema, this order violates principles of commercial litigation.
On June 23, the Commercial Court of the Republic of Bashkortostan seized 31.76% of MTS mobile operator’s shares owned by AFK Sistema and its subsidiary Sistema-Invest as well as 100% of Medsi Group’s shares and 90.47% of Bashkir Power Grid Company’s (BESK) as part of 170.6 billion rubles (about $3 billion at the current exchange rate) lawsuit filed by Rosneft, Bashneft and Republic of Bashkiria against the companies.
Press service of Rosneft has said previously that the lawsuit is connected with alleged siphoning of assets. Actions of AFK Sistema allegedly led to decrease of assets at this sum.
Initially, Rosneft sought to collect 106.6 billion ($1.8 billion) in damages from Sistema. Later the oil giant increased its claim to 170.6 billion. The plaintiff revised the claim damage upwards taking into account currency fluctuations, according to a company’s representative.
According to AFK Sistema, the plaintiffs’ demands are illegal and groundless.