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Third, the damages Claimant seeks are dependant on an Evaluation at odds Together with the statements in Claimant’s Reply that Yukos' tax assessments were not them selves expropriatory measures. As the supplemental specialist report of Professor James Dow shows, LECG’s calculation of damages, on which Claimant depends, is based on the exact same "retroactive" tax promises that RoslnvestCo now acknowledges didn't represent acts of expropriation and, in almost any event, transpired very well in advance of Claimant initially acquired an economic desire within the Yukos shares,

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12. The UK-Soviet Little bit provides a remedy for these violations of a condition's obligations. Claimant must be compensated for its proportional share of the worth of Yukos had the property of Yukos not been unlawfully expropriated because of the Russian Federation. [ ]"

Simply because Claimant did not make a protected expense until finally March 2007, if in any respect, RosInvestCo has abandoned its assert that the tax assessments were being themselves expropriatory actions. Claimant has rather tried to argue which the tax assessments were being simply the "pretext" for Respondent’s alleged expropriation of Yukos' property. In an effort to verify the tax assessments had been a sham or pretext, Claimant must meet a superior conventional of proof - a "demanding" 1, In accordance with Claimant.

34. On 22 January 2010, over the concluding remarks from the Listening to around the deserves, the Parties were being asked from the Chairman if there were any procedural challenges which they wished to boost (Tr p, 933). The Events confirmed they had agreed a method to Trade opinions on substantial corrections to. the hearing transcript. The Chairman further asked the Functions "do the Functions have any objections to the way in which the Tribunal has conducted the process thus far?

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eight. The Respondent upcoming mounts a belated, unfounded, and scarcely veiled assault around the Tribunal’s jurisdiction, a lot more than a calendar year following the Tribunal issued a detailed award obtaining that it experienced jurisdiction in this case.

269. Claimant accurately factors out the so-termed "most favoured country" (MFN) provisions in Posting 3 with the IPPA are the basis for that Tribunal, by its Award on Jurisdiction, applying the greater favourable provisions in Article eight in the Denmark-Russia Little bit for the query if the Tribunal experienced jurisdiction for an assessment of a declare of expropriation. The Tribunal considers that if, as Respondent submits, this reasoning also demanded the Tribunal to import fewer favourable provisions in treaties, plus the more favourable ones, then quite a few treaties would shed relevance. The IPPA, will not exclude promises according to taxation plus the Tribunal is looking at a claim below that treaty, for that reason over a simple reading the Tribunal ought not to be sure to importing less favourable provisions from An additional treaty. 270. The Tribunal notes that Respondent hasn't put A great deal emphasis on this difficulty in its presentation of the situation. This notwithstanding, the Tribunal is unwilling to offer a shallow therapy to the MFN challenge. Article 3 from the IPPA stops Respondent from subjecting investments or returns of traders to treatment method a lot less favourable than that which it accords to investments or returns of traders of any 3rd point out.

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Participation Agreements - Ideal to market the shares 376. Respondent reiterates in RPHB-II that Claimant didn't maintain a "safeguarded financial commitment" regarding the IPPA Which Claimant’s situation that the Participation Agreements transferred to Elliott Global only "contractual" and "economic rights" is Erroneous for at least a few similar motives. To begin with the one possession rights Claimant had were contractual in origin. These rights could in principle give rise to in rem rights, even so Claimant transferred all its Yukos associated rights beneath the Participation Agreements. Second, Claimant did no transfer to Elliott Global a little something other than The whole thing of its interest while in the Yukos shares. Claimant transferred The whole lot of its curiosity (and retained no rights in any respect) in relation on the Yukos shares. Due to this fact, previous to March 2007, Elliott Intercontinental was the one owner of the Yukos shares and Claimant was a mere selection agent without additional legal rights than an uncompensated custodian. 3rd, The truth that the Participation Agreements might have constituted independent securities for reasons in the US securities regulations would not indicate which the Participation Agreements didn't also transfer all of Claimant’s curiosity within the Yukos shares. (¶¶ten - fourteen RPHB-II) 377. Claimant’s argument that nothing at all within the Participation Agreements or in Big apple regulation prevented it from offering or pledging the shares is essentially Completely wrong. Claimant transferred a hundred% of its fascination to Elliott, agreed not to acquire any action apart from https://rosinvest.com in accordance with Elliott International’s Guidance and work out treatment in regard on the shares just as if it had been the effective proprietor. It really is abundantly clear being a matter of The big apple law that Claimant didn't have the best to promote or pledge the Yukos shares for As long as the Participation Agreements remained in impact. The crucial ideal of possession - to transfer assets - was Elliott International’s ideal. This was unaffected by its arrangement to not physical exercise its proper to transfer without the need of RosInvestCo’s consent. (¶¶15 - 16 RPHB-Ii) 378.

four. In its Statement of Defense, the Russian Federation tries to dismiss RosInvestCo’s declare like a dispute about tax enforcement arid an unproven "conspiracy concept" that may be "completely implausible. " It truly is neither. It's https://rosinvest.com a declare for expropriation according to the documented actions on the Russian Federation.

The Russian tax assessments only enter into the picture because the Respondent seeks to disguise its using to be a legit work out https://rosinvest.com of its tax power.

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