UPDATE 2: Court to hear dispute on Ukraine’s debt to Moscow urgently

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LONDON, Mar 29 (PRIME) -- London’s High Court of Justice will study a case of Ukraine’s U.S. $3 billion Eurobond to Moscow urgently, according to a decision announced by Judge William Blair on Wednesday.

The court confirmed Russian request to expedite the hearing and will not hear the case fully with analysis of documents and verbal arguments. Russia’s Finance Ministry said before that the request was based on the fact that Ukraine has no real chances to challenge a request to redeem the debt.

A lawyer representing one of the sides in the proceeding told reporters that the expedited hearing may take about six to nine months. Lawyers representing Russia and Ukraine also agreed that Ukraine will submit objections and additional documents on the dispute to the court until April 8. The court will continue the study of the case after it receives objections and documents.

Bloomberg reported citing Ukrainian Finance Minister Alexander Danilyuk that Kiev will continue standing its ground in the case, and the decision to speed up hearing is only the first stage of the trial.

Russia bought Ukraine’s 2-year Eurobonds in December 2013 and later rejected restructuring conditions offered by the country to its commercial creditors. Kiev insisted that the terms of debt repayment to Russia should be the same as for private creditors. The International Monetary Fund (IMF) recognized the debt as sovereign.

In February 2016, Russia filed a lawsuit with the High Court of Justice in London demanding that Ukraine pay the main debt of $3 billion, as well as $75 million of the last coupon income and additional interests accrued since December 20, 2015, the maturity date of the securities.

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