Market Overview

Russian Court Issues New Injunction Order with Expanded Restrictions on VimpelCom

VimpelCom Ltd. (NYSE: VIP) announces that the Moscow Arbitration Court has issued a new, expanded injunction order in connection with the previously announced claim by the Russian Federal Anti-monopoly Service. The injunction order is related to the previously disclosed claims brought by the FAS against two of the largest shareholders of VimpelCom, Telenor East Holding II AS and Weather Investments II S.a r.l., in the Moscow Arbitration Court. The FAS claim allege that Telenor acquired preferred shares of VimpelCom from Weather and that the two shareholders entered into other agreements in violation of the Russian Law on Strategic Investments. VimpelCom has been named as a third party to the claim, which means that its rights and obligations may be affected by the claim.

The injunction order states that it prohibits each of the Company and its wholly-owned subsidiaries, OJSC "Vimpel-Communications"and VimpelCom Holdings B.V., and their respective management bodies from giving effect to the resolutions of the Annual General Shareholders Meeting of the Company's subsidiary OJSC VimpelCоm, which was held on May 21, 2012, including:

- Prohibiting the payment of dividends to shareholders of OJSC VimpelCom based on the results of operations in 2011, and the transfer of the cash intended for dividend distribution to the accounts of OJSC VimpelCom or other companies with foreign banks;

- Prohibiting the external auditors elected at the OJSC VimpelCom AGM from exercising the powers conferred on them;

- Prohibiting the board of directors of OJSC VimpelCom elected at the OJSC VimpelCom AGM from exercising their powers pursuant to the charter of OJSC VimpelCom; and

- Prohibiting the taking of other actions and steps designated to transfer the indicated funds out of our Russian subsidiary OJSC VimpelCom.

Posted-In: News Legal

 

Related Articles (VIP)

Around the Web, We're Loving...

Get Benzinga's Newsletters