18:00 21-08-2014
MAIN Russian
About us On-line subscription
KazakhstanTajikistanUzbekistanKyrgyzstanTurkmenistanWorld
POLITICSBUSINESSINCIDENTSSOCIETYCULTURESPORTANALYSISSCIENCE
French court adopts decision in favor of Uzbekistan

Bishkek (AKIpress) - justice Uzbekistan won legal proceedings in France within the suit of the Swiss company Romak S.A., which attempted to arrest banking accounts of Uzbekistan with help of the court officers, UzDaily reports.

In line with the UN charter and conventions, the countries have immunity from jurisdiction of foreign countries and judicial decisions cannot be imposed on them. Despite this, some companies still are attempting the governments to dispute of independent legal entities.

The case on confiscating property of Uzbekistan on liabilities of Uzdon, an independent legal entity, was initiated in France in 2008. Swiss Romak S.A. initiated the case.

Romak S.A. signed three-side agreement with Uzdon of Uzbekistan and Adil of Kazakhstan on supply of wheat in the middle of 1990s. In line with the contract, Adil should pay for supplied wheat to Uzdon due to its debt to the Uzbek side. Kazakh firm did not pay and a dispute appeared between Uzdon and Romak S.A.

Uzdon refused to pay for delivered wheat and Swiss company initiated arbitration dispute against Uzdon at Grain and Feed Trade Association (GAFTA) in London.

Uzbek firms had no idea on arbitration in the middle of 1990s and Uzdon failed to defend its interests at the arbitration. GAFTA adopted decision in favour of Romak S.A.

Swiss company presented this decision to the Paris city court to execute it in line with New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards. The court recognized the award and adopted decision on its execution in the territory of France.

In line with New York Convention, arbitration awards are executed voluntary or mandatory in relation to property of person, against who the decision was adopted.

Romak S.A. initiated procedure on enforcement of arbitration award against property of Uzbekistan. Court officials arrested banking account of Uzbekistan at HSBC.

The decision was protested by Uzbekistan at the court of the first instance. The Uzbek side presented its argument to the position of Swiss company, which does not comply with international law. “Uzdon is independent company and there is no foundation to attract the state as responsible for liabilities of independent legal entities.”

The Uzbek side proved that Uzdon is independent legal entity and has own property, legal status, management. The Uzbek side also cited that Uzbekistan has immunity from jurisdiction of foreign countries and property of the state cannot be confiscated in accordance with international law.

At the same time, the banking account, which Swiss company wanted to arrest and confiscate, was opened by Uzbekistan to accumulate payments for rendered services on air navigation services.

The court of the first instance in Paris considered case and adopted decision in favor of Uzbekistan. The decision of the court said that the state is not responsible for liabilities of independent enterprises.

The Courts of Appeals of Paris also supported the position of Uzbekistan on this issue and rejected complaints of Romak S.A.


Twitterfacebookprint
15:18 11.06.2014
LATEST NEWS
17:11 Kyrgyz State Architecture and Construction Agency suggests ban on free distribution of plastic bags in retail chains17:08 McDonald's: Russia watchdog widens probe into food chain16:59 President Nazarbayev, Kazakhfilm chairman discuss cinematography development of Kazakhstan16:44 New open-air museum may be launched near University of Central Asia campus in Naryn - archaeologist16:39 Tariffs to be raised by 71.8% for users of three-phase power systems since September 1 in Kyrgyzstan16:25 Bank of America expected to pay a record $16.65 billion fine16:20 Economy Ministry suggests Kyrgyz producers to unite for export of products to Russia16:09 Over 2,500 stateless persons revealed in southern Kyrgyzstan15:44 Issyk-Kul to host cultural events of World Nomad Games15:39 General Staff of Armed Forces suggests restriction of travel abroad for those evading from military service15:29 Tsarnaev friend to plead guilty in obstruction case15:21 Tajik President instructs to strengthen preventive work among adolescents and youth15:16 Celebrities read books to young children to promote reading in Kyrgyzstan15:09 Caravan of Books to head to east of Tajikistan15:04 National Bank of Kyrgyzstan should name sum, bank from which money was stolen by cybercriminals, says national security agency14:54 Over 60% of credit portfolio of banks finance import – expert14:21 Customs Union industrial output increased by 1.3% in H1 201414:19 China hands over 60 vehicles to Tajikistan for holding SCO summit14:10 UN welcomes destruction of Syria's declared chemical weapons material13:43 40 stationary points ready for collection of biometric data of population in Bishkek – State Registration Service
Astana
+31° C
Ashgabat
+38° C
Bishkek
+35° C
Dushanbe
+34° C
Tashkent
+38° C
exchange rates
 
69.53
52.30
8.48
1.44
241.93
182.00
29.64
5.02
6.58
4.97
0.81
0.14
3168.15
2344.38
381.47
65.12
3.79
2.85
0.46
0.08

© AKIpress News Agency - 2001-2014
Use of the AKIpress.com materials must be accompanied by a hyperlink to www.akipress.com
Our address:
Moskovskaya str. 189, Bishkek, the Kyrgyz Republic
e-mail: english@akipress.org, akipressenglish@gmail.com;
Tel/Fax: +996(312)90-07-75