MOSCOW, October 25 (RAPSI) –  Yukos Capital SARL filed a memo Thursday requesting that a US federal court order Russian gas giant Samaraneftegaz to honor an approximately $186 million judgment rendered in Yukos’ favor earlier this month.

Samaraneftegaz is Rosneft’s second largest oil and gas production unit.  Yukos Capital is a subsidiary of the now defunct YUKOS Oil Company.

In August, a federal district court in New York granted a request by Yukos Capital for summary judgment in its efforts to seek enforcement of an arbitration award it had earlier won in the International Court of Arbitration of the International Chamber of Commerce (ICC) against Samaraneftegaz.

On October 2, a supplementary judgment linked to the August judgment ordered Rosneft to pay $185,907,785.41 plus interest to Yukos Capital, according to a statement issued by YUKOS Library.

In a memorandum of law in support of a motion for turnover filed Thursday, Yukos Capital asserted that it had sent a letter to Samaraneftegaz in the direct aftermath of the October 2 judgment requesting that the latter either satisfy the judgment, or post a bond securing the amount.

In its memo, Yukos Capital asserts: “In light of the failure of Samaraneftegaz to honor the arbitral award and the long history of this litigation, it is clear that Samaraneftegaz does not intend to satisfy the Judgment until forced to do so by this Court.”

Arguing its point, Yukos asserted that the court is authorized to order the satisfaction of the judgment, as it has personal jurisdiction over Samaraneftegaz. Furthermore, Yukos Capital pointed out that Samaraneftegaz had recorded revenues of $3.5 billion and profits exceeding $1 billion in 2012.

The memo went on to assert that the judgment debtor had engaged in payments constituting fraudulent conveyances: “Samaraneftegaz’s financial statements show that it paid more than $770 million in dividends to its sole shareholder, Neft-Aktiv, in 2012—enough to satisfy Yukos Capital’s Judgment several times over… Because of these transfers, although Samaraneftegaz has revenues of nearly $300 million per month, its cash position was only $20,000 as of December 31, 2012.4 Samaraneftegaz is apparently dividending its profits away as quickly as it receives them.”

The memo further claims that Samaraneftegaz had recorded interest-free loans to “companies belonging to the Rosneft Oil Company OJSC group,” in the amount of nearly $528 million.

Arguing that Samaraneftegaz should not be allowed to transfer enormous sums of money to its shareholder and affiliates without paying out the judgment, Yukos Capital requested that the court order the gas giant to turn over assets in order to satisfy the full judgment amount, and enjoin it from paying dividends, making loans, or otherwise making payments to its shareholder or affiliates until either the judgment has been satisfied or a bond has been posted.

Rosneft has not yet responded to RAPSI’s request for comment.