IPOC is arguing that, as the rightful owner of the stake, it should be protected by Russian Law on Foreign Investments.
IPOC has already won the only substantive ruling in the MegaFon dispute to date.
The three Alfa subsidiaries which currently control the MegaFon stake are based in the BVI, and without an injunction, IPOC has always been concerned Alfa Group will seek to sell or squirrel away this stake to hamper IPOC's efforts to enforce its rights.
We are confident that IPOC will be recognised as the rightful owner of the 25.
LV Finance signed two option agreements in April and December 2001 with IPOC to sell to IPOC 100% of Transcontinental Mobile Investment Limited (TMI), itself the sole owner of CT Mobile (CTM), which holds 25.
Pursuant to an ICC arbitration award in Geneva, which has been confirmed by the Swiss Supreme Court, IPOC has validly exercised and paid for an option entitling it to the transfer of an additional 5.
Gordon Dobie, an attorney with Winston & Strawn LLP, which filed the case for IPOC International Growth Fund, Ltd.
IPOC had originally signed two options agreements to buy the stake from LV Finance, had paid for the shares and at all junctures honored the terms of the agreements.
What was a legitimate business opportunity for IPOC evolved into a vehicle for Rozhetskin's and Mikhail Fridman's theft and misappropriation," the suit alleges.
The scheme involved wiring payments through New York banks, taking the proceeds, and then transferring those proceeds to various off-shore companies "to conceal wrongdoing from IPOC, American taxing authorities, and others.
He later relied on New York banks to launder the theft of $50 million, the money IPOC paid for the stake.
The complaint also alleges that Rozhetskin and Fridman were assisted by Hans Bodmer, who served as escrow agent and sent instructions to IPOC to wire money through banks in New York for the benefit of the defendants.