Court upholds arrest of Honeywell's 2.2 bln rbl assets

MOSCOW, Jan 10 (PRIME) -- The Ninth Arbitration Court of Appeals upheld on Tuesday an earlier court decision to arrest 2.2 billion rubles of assets of U.S. company Honeywell International under a suit of Russia’s Rosbank.

Rosbank issued a 2.3 billion 6-year ruble loan to the Russian subsidiary of Honeywell in 2021. In April, the U.S. company decided to suspend operations in Russia because of the conflict in Ukraine, and the parties extended the loan term to 50 years. The bank thinks that a transfer of money to a U.S. company for 50 years is in fact a donation without the possibility of receiving the money back.

The bank asked the court to arrest Honeywell’s assets in September saying that the defendant – Honeywell’s subsidiary – was 100% controlled by the residents of unfriendly countries and was trying to hide its assets outside Russia.

(70.3002 rubles – U.S. $1)

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