Arricano appeals to the President to facilitate Sky Mall shopping mall's return to its legal owner and investor
On December 7, 2017, Arricano held a press conference on Foreign Investors about Business in Ukraine: Partnership, Investment Protection and International Institutions' Influence. The new judgment of the High Court of Justice (London) in Sky Mall Shopping Mall's Raider Seizure Case has been held.
The press conference participants were: Hillar Teder, the Majority Shareholder of Arricano Real Estate Plc, Tomas Fiala, the General Director of Dragon Capital Investment Company, Gert Antsu, the Ambassador Extraordinary and Plenipotentiary of the Republic of Estonia in Ukraine, Mykhailo Merkulov, the CEO of Arricano Real Estate Plc, Tetiana Korotka, the Business Ombudsman's Deputy - have focused their attention on the issue of Ukraine's investment attractiveness for foreign partners.
Mykhailo Merkulov said that the High Court of Justice in London, which was considering the dispute over the Sky Mall shopping mall, made a judgment in favor of Arricano. On November 30, 2017, the Commercial Court of the Queen’s Bench Division of the High Court of Justice in an arbitration proceeding between Arricano Real Estate Plc and Stockman Interhold S.A. has dismissed all Stockman Interhold S.A. appeals for three out of eight decisions previously adopted by the London Arbitration Court and confirmed the seventh London Arbitration Court's judgment dated May 5, 2016, according to which Stockman Interhold S.A. is obliged to transfer Sky Mall shopping mall's shares to Arricano Real Estate Plc at a price equal to USD 0.
«We want to draw the President's attention to this judicial decision. Today, we will sign an open letter to the President with the request to help with the comprehensive investigation of this case and restoration of justice for Sky Mall shopping mall's return to its rightful owner and investor - Arricano», - said Mykhailo Merkulov.
Arricano plans also sending this open letter to the embassies of the G-7 countries, the IMF and international financial organizations so that this resonant raider case was investigated, since the asset return to its rightful owner will be an important sign for foreign investors and will contribute Ukraine's investment attractiveness.
Hillar Teder believes, that in order to create foreign direct investments' influx the state should ensure equal conditions for all market participants, stable laws, the rule of law, so that everything could work for a long perspective. «The economy of Ukraine no longer tolerates loans, so direct investments must come. Ukraine can find this money in Europe. Ukraine, the population of which is over 42 million people, is very interesting for Europeans. However, big money likes quiet water - everything should be stable, then they will come», - said the Estonian investor. He drew attention to the fact that 8 times Arricano had positive decisions in European courts, but there are no movements in Ukraine - and this is the biggest problem, because the authorities must ensure fairness, so that London solutions could work in Ukraine and Sky Mall was returned to its investors. «In order to invest 3-5 billion dollars a year, which Ukraine needs, foreign investors should have ready-made platforms. Arricano is a public company, and this is a platform for investors through which Ukraine could be developed», - Hillar Teder comments.
Tomas Fiala, the CEO of Dragon Capital investment company, has recalled that the DUPD investment fund has invested USD 30 million in Arricano in 2010; he said that because of this investment, primarily due to raider seizure, the company lost a lot; noted that DUPD has supported Arricano in the dispute over the Sky Mall shopping mall, which has lasted for 7 years, and the London court's decision has restored justice internationally. «Of course, there is a huge problem - how to implement this justice in Ukraine, if on the other hand, there are opponents, who use not only the legislation of Ukraine, but also have the support of political forces and law enforcement agencies», - Tomas Fiala comments. The speaker notes that Sky Mall shopping mall's case is a good illustration of the problems that do not allow Ukraine developing rapidly and creating jobs, thus resulting in emigration of Ukraine's population to other countries. «There is no rule of law, but a corruption in courts and law enforcement agencies in Ukraine. That is why creating a favorable investment climate, attracting foreign and domestic investments, creating new jobs are top priorities for the country's development», - summed up the CEO of Dragon Capital investment company.
Gert Antsu, the Ambassador Extraordinary and Plenipotentiary of the Republic of Estonia in Ukraine, expressed his hope that the London arbitration will be executed in Ukraine and noted that «Many investors treat Ukrainian potential cautiously», being aware of the problems associated with Arricano's asset. «If this problem could be solved, Arricano's case would be a positive example for other investors», - Mr. Gert Antsu said. - «I hope that the end of this long story is not far».
Tetiana Korotka, the Business Ombudsman's Deputy, noted that Arricano's case is a test for the state of Ukraine on its ability to play under international rules in order to attract investments and to work with the whole world. «The government of Ukraine, together with the President, makes a huge effort expanding our economic space. Arbitration courts' decisions implementation is one of the large system's elements that is being built», - the Business Ombudsman's Deputy said. Tetiana Korotka said that issues related to arbitration courts' decisions are now becoming very relevant. This is evidenced by the requests to the Business Ombudsman's Office related to the court decisions' implementation. «Within the limits of our powers we use our own methods to help each particular company understand that it is necessary to solve the problem systematically, including by the court decisions' implementation. We constantly bring this issue to the highest level», - the speaker notes. - «Ukraine's ability to be a reliable and predictable partner is an indicator that we all fall short of. I hope that the test will be passed and that Ukraine is able to fulfill its obligations towards the international community».