The Yukos Affair emerged in 2003. During this time, Russia’s President Putin had made a political movement against oligarchs, also known as a small group of people that hold power. The Yukos Oil Company was once known as the largest company that produced oil. Mikhail Khordorkovsky, the former chief of Yukos Oil, became a target for being one the richest men in the world. Most people equate money with power and Putin seemed to after those with power. Khordorkovsky was arrested in 2003 and the charges were related to embezzlement and tax evasion. He was sentenced to 14 years.
Currently President Putin is facing U.S. European sanctions to force him to end the war in the Ukraine, where many lives have been lost. Now after ten years, he also has to face a new verdict that enables Yukos Oil owners to collect compensation for damages. Kordorkovsky will not be able to collect on any damages, because he transferred his ownership once he knew met Putin’s criteria for being an oligarch. The ruling stated that the intent of the Russian Federation was to bankrupt the company, which caused it to lose its largest assets to Rosneft. The total amount awarded to the owners is $50 billion. The original amount sought was $114 billion. The damages must be paid by the middle of January 2015 or penalties will be applied.
The Russian government is not satisfied with the outcome of the verdict made against them and intend to appeal. They deny the allegations that going after Yukos Oil was a political move and that tax evasion was not the reason. It seems that this war is far from over. It may take another 10 years to resolve this already too familiar dispute.
Yukos Affair Timeline of Recent Years
2011
January 7, 2011: A freezing order on the funds held by Yukos International UK in Netherlands, which were then sitting in Dutch bank accounts was overturned by The Hague Supreme Court.
September 20, 2011: A ruling in the Yukos case is revealed by ECHR. The court determined that their trial and tax liabilities held against them were not just. They conceded that because of this, the company suffered a detrimental blow that was likely undeserving.
2012
March 8, 2012: The Yukos Oil Company’s request ,for their application to be moved to the Grand Chamber, was denied.
June 29, 2012: Rebgun’s appeal of Yukos Finance vs. Receiver Rebgun, which is about who will acquire ownership of the Yuko’s Oil Dutch branch.
2013
May 29, 2013: Rosneft was ordered by Amsterdam District Court to pay promissory notes and penalties to Glendale.
May 29, 2013: The Amsterdam District Court decided to allow Stichting Administratiekantoor FPH and others to prove that the Armenian judiciary was partial in the court.
You can get the complete timeline, get in-depth information and keep up with these affairs at the Yukos Library.
