Russian Federation sues Ukraine, seeks payment on $3 billion eurobond

By Caroline Salls

Pittsburgh, Feb. 17 – The Ministry of Finance of the Russian Federation filed a lawsuit Wednesday in the English High Court against Ukraine to recover all amounts owed under Ukraine’s $3 billion eurobond held by the Russian Federation, as well as all costs incurred by the Russian Federation in prosecuting the legal action, according to a news release.

In its lawsuit the Russian Federation demands that Ukraine pay the $3 billion principal of the eurobond, the unpaid $75 million December 2015 coupon and interest beginning from Dec. 20.

According to the release, the lawsuit “was filed after numerous futile attempts to encourage Ukraine to enter into good faith negotiations to restructure the debt, and to acknowledge that the eurobond held by the Russian Federation is an official credit and must be afforded treatment better than that previously provided to Ukraine’s private creditors.”

Cleary Gottlieb Steen & Hamilton LLP is representing the Ministry of Finance in this legal proceeding.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.