Arbitral Digest

Matter

Emergofin B.V. and Velbay Holdings Ltd. v. Ukraine (ICSID Case No. ARB/16/35)

Case no.
ARB/16/35
Applicable rules
ICSID Arbitration Rules
  1. 22 March 2012Ukraine

    22 March 2012Ukraine

    Kyiv Commercial Court Judgment dated 22 March 2012

    Kyiv Commercial Court

    Decision summary
    The Kyiv Commercial Court rescinded the 2006 sale and purchase agreement relating to Velbay's 68.01% stake in Zaporozhye Aluminium Combine after deciding the Prosecutor's claim on a material-breach basis.

    Supporting details

    1 participant
    Velbay Holdings Ltd.
    Kyiv Commercial Court

    2 years, 11 months and 17 days later · 1084 days

  2. 11 March 2015Ukraine

    11 March 2015Ukraine

    Supreme Court of Ukraine Judgment dated 11 March 2015

    Supreme Court of Ukraine

    Decision summary
    The Supreme Court of Ukraine rejected the application in proceedings concerning rescission of the 2006 sale and purchase agreement, exhausting Velbay's available remedies in the Ukrainian judicial system.

    Supporting details

    1 participant
    Velbay Holdings Ltd.
    Supreme Court of Ukraine

    3 years, 3 months and 9 days later · 1197 days

  3. 20 June 2018Ukraine

    20 June 2018Ukraine

    Supreme Court of Ukraine Ruling dated 20 June 2018

    Supreme Court of Ukraine

    Decision summary
    The Supreme Court of Ukraine dismissed Velbay's appeal concerning the 2016 extraordinary general meeting; Judge Mamalui filed a dissenting opinion criticizing the treatment of evidence.

    Supporting details

    2 participants
    Velbay Holdings Ltd.
    Supreme Court of Ukraine
    Judge
    Mamalui

    10 months and 5 days later · 309 days

  4. 25 April 2019Ukraine

    25 April 2019Ukraine

    Commercial Court of the Zaporozhye Region Decision dated 25 April 2019

    Commercial Court of the Zaporozhye Region

    Decision summary
    The Commercial Court of the Zaporozhye Region refused Velbay's application concerning its exclusion from the shareholders list.

    Supporting details

    1 participant
    Velbay Holdings Ltd.
    Commercial Court of the Zaporozhye Region

    1 year, 3 months and 17 days later · 474 days

  5. 11 August 2020Ukraine

    11 August 2020Ukraine

    Supreme Court of Ukraine Ruling dated 11 August 2020

    Supreme Court of Ukraine

    Decision summary
    The Supreme Court of Ukraine quashed the 2018 Sanctions Decision insofar as it imposed restrictive measures on the Claimants.

    Supporting details

    2 participants
    Velbay Holdings Ltd.
    Supreme Court of Ukraine
    Judge
    Mamalui

    2 months and 29 days later · 90 days

  6. 9 November 2020Ukraine

    9 November 2020Ukraine

    Central Appeal Commercial Court Decision dated 9 November 2020

    Central Appeal Commercial Court

    Decision summary
    The Central Appeal Commercial Court overturned the decision of the Commercial Court of the Zaporozhye Region and ruled that Velbay's claim should be granted.

    Supporting details

    1 participant
    Velbay Holdings Ltd.
    Central Appeal Commercial Court

    7 months and 22 days later · 234 days

  7. 1 July 2021Arbitration

    1 July 2021Arbitration

    Decision on Jurisdiction, Admissibility and Liability

    International Centre for Settlement of Investment Disputes

    Decision summary
    The Tribunal declared that it had jurisdiction over the dispute and claims to the stated temporal extent, found the other claims admissible, upheld the Renationalisation Claim, the fair and equitable treatment aspect of the Shareholder Interference Claim, and the Sanctions Claim under Article 3(2), dismissed the other stated claims, and reserved damages and costs for a Final Award.

    Supporting details

    4 authorities · 12 participants
    Emergofin B.V.
    Representative
    Emmanuel Gaillard (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Yas Banifatemi (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Rudolf Simone-Pont (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Anna Guillard Sazhko (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Yuliia Dikhtiievska (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Velbay Holdings Ltd.
    Representative
    Emmanuel Gaillard (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Yas Banifatemi (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Rudolf Simone-Pont (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Anna Guillard Sazhko (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Yuliia Dikhtiievska (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Ukraine
    Representative
    Ministry of Justice of Ukraine (For: Ukraine)
    International Centre for Settlement of Investment Disputes
    Arbitrator
    Zachary Douglas
    Arbitrator
    John Beechey
    Arbitrator
    Michael Wood

    Authorities cited

    4
    • Agreement between the Kingdom of the Netherlands and Ukraine on Promotion and Reciprocal Protection of Investments, 14 July 1994
      statute
    • Convention on the Settlement of Investment Disputes Between States and Nationals of Other States, 1965
      statute
    • Civil Code of Ukraine
      statute
    • Supreme Court of Ukraine decision in Case No 3-136gs11 (Case No 3-136gs11, 19 December 2011)
      case-law

    4 years and 10 months later · 1765 days

  8. 1 May 2026Arbitration

    1 May 2026Arbitration

    Final Award

    International Centre for Settlement of Investment Disputes

    Decision summary
    The Tribunal ordered Ukraine to pay the Claimants USD 71,000,000 as restitutionary damages, interest at the 5-year US Treasury Rate compounded annually, and contributions toward legal and arbitration costs. All other claims and relief were rejected.

    Supporting details

    4 authorities · 17 participants
    Emergofin B.V.
    Representative
    Raed Fathallah (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Tim Portwood (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Marina Weiss (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Shane Daly (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Maria Kiskachi (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Bredin Prat (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Jennifer Younan (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Elise Edson (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Sandrina Antohi (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    A&O Shearman (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Velbay Holdings Ltd.
    Representative
    Raed Fathallah (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Tim Portwood (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Marina Weiss (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Shane Daly (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Maria Kiskachi (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Bredin Prat (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Jennifer Younan (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Elise Edson (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    Sandrina Antohi (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Representative
    A&O Shearman (For: Emergofin B.V. · Velbay Holdings Ltd.)
    Ukraine
    International Centre for Settlement of Investment Disputes
    Arbitrator
    Zachary Douglas
    Arbitrator
    John Beechey
    Arbitrator
    Michael Wood
    Tribunal secretary
    Laura Bergamini

    Authorities cited

    4
    • Agreement between the Kingdom of the Netherlands and Ukraine on Promotion and Reciprocal Protection of Investments, 14 July 1994
      statute
    • Convention on the Settlement of Investment Disputes Between States and Nationals of Other States, 1965
      statute
    • Civil Code of Ukraine
      statute
    • Law of Ukraine on Sanctions
      statute

Matter record

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Emergofin B.V. and Velbay Holdings Ltd. v. Ukraine (ICSID Case No. ARB/16/35) · Matter