Lawyers have secured payment under Eurobonds for a private client
The team from Pepeliaev Group’s banking and finance practice has successfully handled a project to obtain payment under Eurobonds under the framework of the President of Russia's Decree No. 198 dated 19 March 2024. This was for a Russian private investor holding VEB.RF Eurobonds with an overseas accounting scheme. The client had been unable to receive coupon payments owing to sanctions against Russia.
The lawyers from Pepeliaev Group prepared the required evidence base and the complete set of documents confirming that the client owned the Eurobonds in accordance with the criteria in the President of Russia's Decree No. 198 dated 19 March 2024.
The main challenge, typical for such projects, lay in the foreign depositary's disregard for the client's requests to have information supplied and the tight deadlines for submitting documents for the issuer to consider. An additional complexity arose from the client being outside Russia at the time when the set of documents was prepared and submitted, requiring part of the documentation to be legalised and a search for unconventional solutions to obtain and properly formalise information from the client's personal account in the foreign depositary, including arranging for a notary’s inspection.
As a result of their efforts, we succeeded in proving that the client duly owned the Eurobonds for the purpose of receiving payments directly from the issuer and secured the coupon payment for the client under the President of Russia's Decree No. 198 dated 19 March 2024.
The lawyers from Pepeliaev Group’s banking and finance practice have extensive experience of advising both Russian and foreign investors on how restrictive measures take effect and what methods are available to protect investor rights. This includes by obtaining payments from Russian issuers in relation to their obligations that are accounted for in a foreign jurisdiction.
The lawyers from Pepeliaev Group prepared the required evidence base and the complete set of documents confirming that the client owned the Eurobonds in accordance with the criteria in the President of Russia's Decree No. 198 dated 19 March 2024.
The main challenge, typical for such projects, lay in the foreign depositary's disregard for the client's requests to have information supplied and the tight deadlines for submitting documents for the issuer to consider. An additional complexity arose from the client being outside Russia at the time when the set of documents was prepared and submitted, requiring part of the documentation to be legalised and a search for unconventional solutions to obtain and properly formalise information from the client's personal account in the foreign depositary, including arranging for a notary’s inspection.
As a result of their efforts, we succeeded in proving that the client duly owned the Eurobonds for the purpose of receiving payments directly from the issuer and secured the coupon payment for the client under the President of Russia's Decree No. 198 dated 19 March 2024.
The lawyers from Pepeliaev Group’s banking and finance practice have extensive experience of advising both Russian and foreign investors on how restrictive measures take effect and what methods are available to protect investor rights. This includes by obtaining payments from Russian issuers in relation to their obligations that are accounted for in a foreign jurisdiction.
I turned to Pepeliaev Group with a complex issue and received prompt and effective assistance. I am very satisfied with our work together and the outcome. True professionals. Thank you!