CEDH · PRESS;HEARINGS;ENG — 27 septembre 2001

.s800EAC49 { font-size:12pt } .s5FFF0A77 { margin-top:0pt; margin-bottom:0pt; font-size:1pt } .sBB9EE52A { font-family:Arial } .sFE10DC93 { margin-top:0pt; margin-bottom:0pt; text-align:center } .s29100277 { font-family:Arial; font-weight:bold } .sA1D3DA2E { margin-top:0pt; margin-bottom:0pt; text-align:justify } .s94935B0F { width:389.85pt; display:inline-block } .sA36B60A1 { font-family:Arial; font-style:italic } .s32563E28 { margin-top:0pt; margin-bottom:0pt } .s4DDA3AA3 { font-family:Arial; font-weight:bold; font-style:italic } .s7ED160F0 { text-decoration:none } .s33165EBA { font-family:Arial; font-size:8pt; vertical-align:super; color:#0069d6 } .s903B0117 { margin-top:0pt; margin-left:70.9pt; margin-bottom:0pt; text-indent:-70.9pt; text-align:justify } .sB54F21D0 { width:1.54pt; text-indent:0pt; display:inline-block } .s5A16F53 { width:18.2pt; text-indent:0pt; display:inline-block } .sCB27B9E { width:16.66pt; display:inline-block } .sC5412BEF { width:51.05pt; display:inline-block } .sF6A12959 { width:33%; height:1px; text-align:left } .s2EB42ED2 { margin-top:0pt; margin-bottom:0pt; font-size:10pt } .s3133A7C8 { font-family:Arial; color:#0069d6 }   EUROPEAN COURT OF HUMAN RIGHTS     672   27.9.2001   Press release issued by the Registrar   HEARING IN THE CASE OF SOVTRANSAVTO HOLDING v. UKRAINE   Thursday 27 September 2001 at 9.30 a.m.   The applicant   The case concerns an application lodged by a Russian international transport undertaking, Sovtransavto Holding, a limited company set up in 1993 whose registered office is in Moscow, Russia.   Summary of the facts   Between 1993 and 1997 the applicant company held 49% of the shares in Sovtransavto–Lugansk, a Ukrainian public limited company. In January 1996 a general meeting of Sovtransavto-Lugansk’s shareholders decided to vary the company’s articles of association, turning it into a private limited company. The Lugansk Executive Council ratified that decision. In December 1996, August 1997 and October 1997 Sovtransavto-Lugansk’s managing director increased the company’s share capital, each time by one third. As a result of these decisions, which were ratified by the Lugansk Executive Council, the proportion of Sovtransavto-Lugansk’s shares held by the applicant company was reduced to 20.7%.   In June 1997 the applicant company brought arbitration proceedings against Sovtransavto-Lugansk and the Lugansk Executive Council in which it submitted that the decisions to vary the articles of association and increase the share capital and the decisions to ratify them had contravened the legislation in force. On two occasions, in January and May 1998, the President of Ukraine urged the President of the Supreme Arbitration Tribunal to “defend the interests of Ukrainian nationals”. In February 1998 a general meeting of Sovtransavto-Lugansk’s shareholders adopted new articles of association, with the approval of the Executive Council. In April 1998 the Securities Exchange Commission, a public body responsible for supervising limited companies, reported its finding that the resolution adopted by Sovtransavto-Lugansk’s shareholders in January 1996 and the decisions subsequently adopted by its board had been unlawful. In June 1998 the applicant company lodged a further application with the arbitration tribunal complaining that the decisions to increase Sovtransavto-Lugansk’s share capital and vary the articles of association and the ratification of those decisions had been unlawful. In January 1999 the Supreme Arbitration Tribunal gave final rulings dismissing all the applicant company’s appeals. In June 1999 a general meeting of Sovtransavto-Lugansk’s shareholders decided to wind up the company.   In April 2000, on an objection ( protest ) by its President, the Supreme Arbitration Tribunal set aside all previous judgments in the case and remitted it for reconsideration at first instance. In April 2001 the first-instance arbitration tribunal ordered the Trans King company, which had been set up with Sovtransavto-Lugansk’s assets, to return to the applicant part of the assets it had originally owned. However, a stay of execution was ordered following an appeal lodged by Trans King. The case is still pending.   Complaints   Relying on Article 6 § 1 of the European Convention on Human Rights (right to a fair trial), the applicant company complains that it was unable to obtain a fair and public hearing within a reasonable time by an independent and impartial tribunal, particularly because of strong political pressure and the continuous monitoring of the case by the organs of the State’s executive power, including the President of Ukraine.   Relying on Article 1 of Protocol No. 1 to the Convention (protection of property), the applicant company complains that, on account of the relevant authorities’ failure to comply with the legislation in force and the lack of the public scrutiny of Sovtransavto-Lugansk’s activities required by law, that company was able to take unlawful decisions which subsequently led to devaluation of the applicant’s shares and its loss of control over Sovtransavto-Lugansk’s activities.   Lastly, relying on Article 14 of the Convention (prohibition of discrimination), the applicant company alleges that it is the victim of discrimination on the part of the Ukrainian authorities, in that they sought to “defend the interests of Ukrainian nationals” by protecting the rights of the Ukrainian company to the detriment of those of the Russian company.   Procedure   The application was lodged with the Court on 11 May 1999.   Composition of the Court   The case will be heard by a Chamber composed as follows:   Georg Ress (German), President , Ireneu Cabral Barreto (Portuguese), Volodymyr Butkevych (Ukrainian), Nina Vajić (Croatian), John Hedigan (Irish), Matti Pellonpää (Finnish), Snejana Botoucharova (Bulgarian), judges , Antonio Pastor Ridruejo (Spanish), Lucius Caflisch [1] (Swiss), substitute judges ,   and also Vincent Berger , Section Registrar .   Representatives of the parties   Government:   Valeria Lutkovska , Agent , Mark Orzikh , Counsel , Iryna Lobasuk and Zoryana Bortnovska , Advisers ;   Applicant:   Michel de Guillenchmidt , Karl Eckstein and Yevgeny Kubko , Counsel , Yuriy Martinyuk , Adviser .   * * *   After the hearing the Court will begin its deliberations, which are held in private. Its decision will be given at a later date.   Registry of the European Court of Human Rights F – 67075 Strasbourg Cedex Contacts:   Roderick Liddell (telephone: (0)3 88 41 24 92)   Emma Hellyer (telephone: (0)3 90 21 42 15) Fax: (0)3 88 41 27 91   The European Court of Human Rights was set up in Strasbourg in 1959 to deal with alleged violations of the 1950 European Convention on Human Rights. On 1 November 1998 a full-time Court was established, replacing the original two-tier system of a part-time Commission and Court. [1] .     Judge elected in respect of Liechtenstein.