RusAl intends to disclose all secrets of the supply of alumina to Tajikistan
11 November 2013
Alumina & Bauxite Co. Ltd. (Albaco), a subsidiary of Russian aluminum giant RusAl, has filed an application with the Eastern Caribbean Supreme Court for the appointment of liquidator for CDH Investments Corp (CDH).
According to press release issued by RusAl, Albaco filed the application in order to “get confidential materials of CDH Investments Corp.
“The liquidator that will be appointed by us will collect and disclose the information on money transfers, directors and other materials concerning CDH,” the press release said, noting that Albaco obtained an order dated October 16, 2013 from the High Court of Justice of the British Virgin Islands, entering judgment on an arbitration award issued for approximately 70 million USD against CDH).
The arbitration award relates to the supply of alumina to the Tajik aluminum smelter, press release said. The arbitration award was reportedly issued in Albaco’s favor by a three-member tribunal sitting in Switzerland in accordance with the Rules of the International Chamber of Commerce. The tribunal held that CDH had breached a supply contract with Albaco for the sale-purchase of alumina.
We will recall that RusAl said last month that it has won 275 million USD in damages from Tajikistan’s aluminum smelter. RusAl said in an emailed statement on October 16 that a Swiss tribunal had found the Tajik Aluminum Company (TALCO) in breach of two 2003 agreements with RusAl subsidiary Hamer Investing, Ltd. Under those agreements, Hamer had supplied TALCO raw materials for which the state-run Tajik company had failed to pay. The tribunal ordered TALCO to pay damages in excess of 112 million USD, approximately 147 million USD in interest, and almost 15 million USD in legal fees, the RusAl statement said.
The statement also said the tribunal had thrown out TALCO’s $400 million counterclaim, in which the company argued that Hamer’s original contracts should be deemed invalid as they had been won by corrupt means.
RusAl “intends to make every effort to enforce the award in all relevant jurisdictions in the event that TALCO does not voluntarily comply with the award,” the statement said.
TALCO spokesman Igor Sattarov said in October that the Russian giant had broken a confidentiality agreement. He suggested that TALCO could appeal since, “according to international norms, the [legal] procedure is quite long and provides for a few more stages” – including a hearing in a Tajik court.