Cassation crt voids 13 bln rbl redemption of Mechel to Atrix

MOSCOW, Nov 21 (PRIME) -- The Arbitration Court of the North Caucasus Federal District has voided rulings of previous courts to charge metals producer Mechel 12.7 billion rubles in favor of Dutch company Atrix, owner of the Rostov Electrometallurgical Plant, according to documents seen by PRIME on Tuesday.

In July, the Arbitration Court of the Rostov Region ordered LLC NK Invest, Mechel-Steel, Mechel, and Mechel-Mining to redeem 5.085 billion rubles in favor of the Rostov Electrometallurgical Plant, and Gennady Somov, Mechel-Steel, Mechel, and Mechel-Mining to redeem another 7.649 billion rubles in favor of the plant. The court of appeals upheld the ruling in September.

Previously, Konstantin Stepanov, a lawyer representing the plant, said that the plant was under Mechel’s management in 2009–2014, and the company bought raw materials for the plant from its subsidiaries at a higher price and later sold products of the plant to its affiliates at a lower price. As a result, other companies profited from operation of the plant.

Mechel denied all accusations and said that all deals with the Rostov Electrometallurgical Plant corresponded to the market situation at the time when they were done.

(59.2746 rubles – U.S. $1)

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