BGP Litigation Senior Lawyer Ilya Sorokin’s comments on the Pugachev’s Case for RBC

On July 4, 2017 judicial proceedings in respect on the case of banker Sergey Pugachev began in the High Court of London. The Russian Deposit Insurance Agency (the DIA) asks the Court to recognize Pugachev a beneficiary of New Zealand trusts.

Will it become a judicial precedent and what are its possible consequences? 

International case law contains cases where real beneficiaries of trusts were disclosed. In that context BGP Litigation Senior Lawyer Ilya Sorokinrefers to such cases as Norwich Pharmacal Case, Schmidt v Rosewood Trust Ltd Case, as well as Marlwood Commercial Inc v Kozeny Case. However these are exceptions rather than the rule, and such practice has not concerned Russian businessmen so far. 

BGP Litigation Senior Lawyer Ilya Sorokinadmits the possibility that the decision of the English Court may be enforced on the basisof the international treaties in Australia, Canada (except from Quebec), India, Israel, New Zealand, Malaysia, as well as in the majority of offshore areas: Guernsey, Jersey, Island Man, the Bahama Islands, the British Virgin Islands, Belize, the Seychelles and others.

The full text of the article “At One’s Trust and Risk” (issue No. 127 (2624) (2007) July 20, 2017)