BGP Litigation Lawyers Achieve Payment to Investor of Blocked Dividends

Lawyers from the BGP Litigation Compliance and Sanctions Law Practice have achieved payment by a Russian oil company to a private investor of dividends that had been blocked owing to sanctions restrictions.

A foreign investor holding shares in a Russian issuer faced impossibility of receiving dividends owing to the European Union's restrictive measures and Russian countermeasures.

The BGP Litigation team delivered an integrated strategy, substantiating the client's right to receive unclaimed securities income. As part of the work, the securities chain of ownership was reaffirmed and impossibility of receiving payments through foreign nominal holders was proven.

On the basis of an application prepared by the lawyers, the issuer discharged its obligations and credited the relevant income payment directly to the investor's account.

"This case is a significant example of law application practice under sanctions restrictions and demonstrates opportunities for protecting the interests of private investors in the Russian market", BGP Litigation Senior Associate Irina Rotachkova noted.

The project was handled by the BGP Litigation Compliance and Sanctions Law Practice team: Irina Rotachkova, Alina Verkhozina and Grigory Plastinin.