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Legal news from Friday, February 25, 2005 |
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Yukos, Menatep will keep fighting despite US bankruptcy dismissal
Jeannie Shawl on February 25, 2005 2:20 PM ET

[JURIST] Yukos [corporate website] and its main shareholder Group Menatep [corporate website] said Friday that they would keep fighting against the "Russian Federation's campaign to destroy the company," despite yesterday's US court decision to dismiss Yukos' bid for bankruptcy protection [JURIST report; memorandum opinion text [PDF]]. In Yukos' statement [text], the company said: We have read the Judge's opinion and it supports YUKOS' position on four of the five issues. The Judge's opinion found in favor of YUKOS on the issues of: Jurisdiction, Forum Non Conveniens, Comity and Act Of State Doctrine. Never-the-less the court dismissed the case under Section 1112 (b) of the Bankruptcy Code....
We have the utmost respect for this Court and have found the experience of participating in a fair, open and unbiased legal process refreshing after nine months of being subjected to politicized and biased Russian courts. We will thoroughly review our options and will take the appropriate actions in due course." In the Menatep statement [text, PDF], the Yukos shareholder acknowledged that the US judgment will not help Yukos in its efforts to survive, but said: It is not surprising, however, that Judge Letitia Clark referred to the events in Russia as "a confiscation". The world has been saying this for some time and Group MENATEP continues to stress that the actions of the Russian Federation are contrary to Russian and international law. The ruling of the judge appears to support that view. AFP has more.


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International brief ~ AU suspends Togo membership
D. Wes Rist on February 25, 2005 12:05 PM ET

[JURIST] In Friday's international brief, the African Union [official website] announced the suspension of Togo's membership in the continental organization following a meeting of the AU Peace and Security Council [official website]. The AU also called for wider sanctions against Togo [government website in French], while endorsing the current sanctions [JURIST report] imposed by the West African regional body ECOWAS [official website]. The controversy is due to the continued occupation of the Togolese presidency by Faure Gnassingbe [BBC News profile], even after the disputed amendments to the nation's constitution were removed. African leaders have called for Faure to step down from the office, while Faure has indicated that he plans to remain as interim president until new elections scheduled to take place in the next two months. Rumors are swirling in the region that Faure is likely to step down in light of the mounting regional and international pressure. JURIST's Paper Chase has continuing coverage [JURIST Countries archive] of Togo. South Africa's Independent Online has local coverage.
In other international legal news ... - The still violent traditional capital of Somalia, Mogadishu, will remain the only home for the Somalian government, Somalian President Abdullahi Yusuf Ahmed [BBC News profile] vowed on Friday. Yusuf is in Somalia conducting a fact-finding mission on the security concerns of relocating the exiled Somalian government from Nairobi, Kenya, where it has been located since its reconstitution last year, back to the war-torn country. Several of the towns visited by Yusuf during his trip offered to serve as a temporary location for the government until safety could be guarenteed in Mogadishu. But Yusuf said that the government will only return to Mogadishu, as anything else would be allowing the violent minority to dictate reform of the nation. Yusuf also dismissed concerns about a peacekeeping force scheduled to assist Somalian Prime Minister Mohammed Ali Gedi [BBC News profile] in maintaining peace in the capital city. Yusuf did not comment on the time frame for the return [JURIST report], as the originally proposed date of Feb. 21 has already passed. South Africa's News 24 has local coverage.
- The Nepalese government will be regulating in-country human rights groups such as Amnesty International-Nepal [advocacy website] and the International Committee of the Red Cross [advocacy website], according to a senior government official quoted in Friday's Nepalese newspapers. The source said that the current government is displeased with the portrayal of Nepal's human rights record in the international community and is therefore going to regulate the conduct of the groups. The report comes on the same day that the government released nine high-profile detainees to the district court in Kathmandu, including Bishnu Nisthuri, the general secretary of the Federation of Nepalese Journalists [official website]. Kantipur Online has local coverage of both the human rights groups regulations and the release of the detainees.
- Former Bosnian Serb General Radivoje Miletic surrendered himself to the International Criminal Tribunal for the Former Yugoslavia [official website] in Serbia on Friday to face charges of war crimes. Miletic has been indicted on charges that he "knowingly participated in a joint criminal enterprise and operation, the common purpose of which was to force the Muslim population out of the Srebrenica and Zepa enclaves" along with fellow general, Milan Gvero, who surrendered Thursday. Miletic will be transferred to the UN Tribunal Monday, according to a Serbian government [official website] press release. Read the official press release of the charges against Miletic and Gvero.


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Corporations and securities brief ~ Lay,Skilling trial to begin January 17
Amit Patel on February 25, 2005 11:11 AM ET

[JURIST] Leading Friday's corporations and securities law news, US District Judge Sim Lake has ordered the jury selection for the trial of former Enron [corporate website; JURIST Hot Topic] Chairman Ken Lay [Wikipedia profile], ex-CEO Jeff Skilling [Wikipedia profile] and top accountant Rick Causey to begin on Jan. 17, 2006. Judge Lake had been eyeing a summer 2005 start to the trial, but on Thursday pushed it to next year to accommodate the trial schedules of the various attorneys for the defendants. The three defendants are said to be pleased with the start date. Read the indictment [text, PDF] and SEC complaint [text, PDF] against Lay, Skilling, and Causey. The Houston Chronicle has more.
In other news... - SBC Communications Inc. announced in a SEC filing [text] that it will take a charge against its fourth-quarter results because of an accounting error by Cingular Wireless LLC [corporate website]. The St. Louis Business Journal has more.
- Mikhail Khodorkovsky [JURIST Newsmaker], founder of Yukos, called the fraud and tax evasion charges [official trial website in English] brought against him fiction and lies. Friday saw the start of Khodorkovsky's cross-examination in a trial that began last June. The specific case against Khodorskovsky and co-defendant Platon Lebedev is related to the 1994 privatization of a fertilizer company, Apatit, which prosecutors allege the pair received a 20 percent stake in illegally. The trial has led to the collapse of Yukos as Russian tax collectors have sought over $27 billion in back-taxes, forcing the sale of its main unit. MosNews.com has local coverage. Reuters has more.
- As previously reported on JURIST's Paper Chase, US Bankruptcy Judge Letitia Clark on Thursday dismissed the bankruptcy case of Russian oil giant Yukos [corporate website; JURIST Hot Topic], saying the matter should be decided in a forum allowing for involvement by the Russian government. Yukos maintains a website related to its Chapter 11 case. MosNews.com has local coverage. BBC News has more.
- MGM Mirage [corporate website] announced Friday the Nevada Gaming Commission [official website] has unanimously approved its deal to acquire Mandalay Resort Group [corporate website] for $7.9 billion. Just last week, the FTC [official website] approved the merger. The deal must now be approved by Illinois and Michigan regulators. Read the MGM Mirage press release. The Street.com has more.
Click for previous corporations and securities law news.


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Legal agenda and live webcasts ~ Friday, Feb. 25
Chris Buell on February 25, 2005 12:01 AM ET

[JURIST] Here's a run-down of law-related events, expected developments and live webcasts on JURIST's docket for Friday, Feb. 25.
The US Senate and US House [official websites] are in recess this week. Both will resume their sessions on Feb. 28.
The Brookings Institution is holding a forum titled "Darfur, War Crimes, the International Criminal Court, and the Quest for Justice," at 10 AM ET today. Watch a live webcast of the event via C-SPAN.
The Ohio State University Moritz College of Law is holding a symposium titled "Meeting the Challenge of Grutter: Affirmative Action in 25 Years." A panel on education reform trends will begin at 9 AM ET, and a panel on implementing change begins at 11 AM ET. More event information and a live webcast is available.
The EU Justice and Home Affairs Council [official website] is holding a press briefing on EU-Ukraine Troika at 2 PM local time [8 AM ET]. Watch a live webcast of the briefing.
At the UN, the Security Council [official website] will hear a progress report by Secretary-General Kofi Annan on cross-border issues in West Africa. Watch a live webcast of the meeting beginning at 10 AM ET. Following that, a 12 Noon ET press conference will be held on gender equality progress since the Beijing World Conference on Women in 1995 [information website]. Watch a live webcast of the press conference.


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