Rusoro Mining awarded $1.3B (U.S.) by Ontario court
Rusoro Mining Ltd. has obtained a judgment against Venezuela in the Superior Court in Ontario for over $1.3-billion (U.S.). The judgment was issued on default as a result of Venezuela’s failure to appear. Venezuela seized Rusoro’s mining properties.
RUSORO MINING Ltd. has obtained a judgment against the Republic of Venezuela in the Superior Court of Justice in Ontario, Canada, in excess of $1.3-billion (U.S.). The judgment, which was issued on default as a result of Venezuela’s failure to appear before the Ontario court, arises out of Rusoro’s dispute with Venezuela over the South American nation’s seizure of its gold mining properties in the country. The Canadian judgment, which confirmed an arbitration award issued in Rusoro’s favour in the same amount, was issued on April 25, 2017. Venezuela has not appealed or sought to vacate the judgment, and its time to do so has expired.
Rusoro further announces that it has filed suit in the Supreme Court of the New York State (New York county) seeking recognition of the Canadian judgment. Canadian court judgments are presumptively entitled to recognition in New York unless the Canadian judgment suffers from certain specific defects, and Rusoro is confident that no such defects exist and that the Canadian judgment will be recognized promptly. Rusoro brought the New York lawsuit in addition to an action it filed in the U.S. District Court for the District of Columbia, which seeks recognition of and the entry of judgment on the original arbitration award.
The D.C. action has been fully briefed since summer, and Rusoro remains confident that the D.C. court will confirm the award in the near future. A favourable ruling from either the New York or D.C. court will entitle Rusoro to use all legal procedures — including broad discovery from both Venezuela and third parties — that U.S. law provides judgment creditors. Any judgment issued in New York will also accrue interest at 9 per cent per annum until the judgment is fully paid.
We seek Safe Harbor.
Andre Vladimir Agapov, Vladimir Pavlovich Agapov, Peter Hediger, Jay M Kaplowitz, Gordon Bruce Keep, Abraham Stein, Dmitry Ushakov
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