The English court did not support the position of Ukraine concerning the so-called Russian debt, but allowed an appeal, and also recognized the military aggression of Russia against Ukraine. While Kiev intends to continue the struggle in the case of the so-called “duty of Yanukovych,” the press service of the Ministry of Finance of Ukraine.
“Ukraine respects the decision [of the court], which was adopted in a complex and uncertain legal framework”, – stressed in the Department.
“We also welcome the fact that the judge ruled that the acts of economic and military aggression against Ukraine and its people that Russia is continuously and with increasing intensity makes with 2013”, – informs the Ministry of Finance.
According to the Agency, the judge clearly described the acts of economic, political and military aggression committed by Russia against Ukraine as “causing great concern”.
As pointed out by the judge, “… before the court a lot of material that justifies the position of Ukraine against Russian pressure and in the end of hostilities …”, “the position of Ukraine regarding the threats credible, and it was not answered [by Russia]”, and “Ukraine made a strong position that the economic pressure applied by Russia … together with the threats that led to the government’s decision not to sign the Association Agreement with the EU at the Vilnius summit on November 28, 2013, and instead to accept a Russian economic aid … “[as a loan].
The judge stressed that to take into account the illegal actions of Russia and forcing her hand prevents him English legal doctrine
The judge also expressly recognized that “… Ukraine can put forward a strong argument that the economic effect of military action by Russia in Crimea and Eastern Ukraine is that the ability of the state to fulfil its obligations under the notes is very limited”, specifies the Ministry of Finance.
The judge also noted that the essence of this case is not “clear” and is “a complex issue”.
Despite this, he concluded that the English legal doctrine that relates directly to the competence of the English courts, forbids him to take into account the illegal actions of Russia and “forced” her as part of objections to Ukraine. As acknowledged by the judge, if not for this legal doctrine, Ukraine’s position is “strong”.
“Thus, the position of Ukraine was recognized by judge strong and justified. However, the judge eventually decided to apply certain formal rules of English law and to render a decision not in favor of Ukraine”, – concluded the Ministry of Finance.
What’s next?
The judge granted the request of Ukraine on appeal to the court of Appeal and has provided Ukraine with total permission to appeal on all issues.
The judge also granted the petition of Ukraine on the temporary suspension of the execution of the decision.
“It is important that the English court recognized a wrongful and blatant acts committed by the aggressor state against Ukraine and its people. This review was the first stage. The next stages of the process Ukraine will continue to defend its position and to protect the public interest, using all opportunities of English law”, – noted in the Department.
In addition, the Ministry of Finance continues to review the judge’s decision: “the Judge gave the decision, which the parties received for the first time only at the hearing today. In the next few days the Ukrainian side will read the full text of the decision in detail and will analyse its implications with your team of legal advisers”.
As reported, London’s High court on Wednesday endorsed an expedited consideration of the claim of Russia to the Ukraine on Eurobonds for 3 billion , the Judge rejected all the arguments of the Ukrainian side. The decision was made according to the results of the hearing, which was held from 17 to 19 January 2017. Kiev intends to challenge the decision of the High court of London. The court gave permission to appeal.
Ukraine has received from Russia a loan of 3 billion dollars under President Viktor Yanukovych in December 2013, Russia was planning to give Ukraine $ 15 billion loan, however, before broke the key events of the revolution of dignity, to allocate only managed the first tranche.
See also: Milestones “debt of Yanukovych”: how Ukraine and Russia argued over three billion dollars
Kiev insisted on the recognition of commercial debt with its subsequent restructuring and debt write-downs. In turn, Russia has refused the restructuring on the terms taken by private creditors of Ukraine, and demanded to recognize the government debt.
The IMF has recognized the sovereign nature of the debt, but retained the ability to continue financing of Ukraine, despite the default on this debt. In December 2015, the Ukrainian government imposed a moratorium on debt payments on these Eurobonds.
