Naftogaz has filed a lawsuit to a US court regarding the forced collection of $5 billion in compensation from russia for damages and lost property in Crimea
It is reported that the amount of the claim also includes accrued interest
The company Naftogaz of Ukraine has filed a lawsuit to the District Court of the United States for the District of Columbia to forcibly collect $5 billion in compensation from russia (inclusive of interest) for the company's losses and property lost in Crimea.
This is stated in a company's statement.
At Naftogaz, it was explained that the petition became possible because arbitral decisions can be enforced through the mechanism of compulsory execution. "Hence, according to the New York Convention of 1958, Naftogaz has the right to start the process of recognition and admission to forced enforcement of decisions on the territory of those states where the assets of the russian federation are located," the company noted.
According to US law, confirmation of an arbitral decision is obligatory if the court does not establish that there is one of the limited grounds for refusal or postponement of recognition or enforcement of an arbitral decision, as laid out in the New York Convention.
It is specified that the interest, provided for non-payment of funds in accordance with the arbitration decision, continues to accrue until the full payment of compensation by the court's decision.
Recall that on 12 April 2023, the Arbitration Tribunal at the Permanent Court of Arbitration in The Hague ordered russia to pay $5 billion in compensation for damages caused by the seizure of Naftogaz's assets in Crimea in 2014. In October 2016, Naftogaz and six other companies of the holding initiated arbitration (case PCA No. 2017-16) against russia based on the Agreeent between the Cabinet of Ministers and the government of russia on the promotion and mutual protection of investments.
Background. As reported by Mind, the court in The Hague ordered russia to pay $5 billion in compensation for Naftogaz's damages in Crimea.
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