Tolexis Trading Limited, a part of Group DF group of companies, filed a cassation appeal to the Supreme Court of Ukraine against the decision of the appeal court regarding the termination of the contract of the State Property Fund with Tolexis Trading Limited on the establishment of Zaporizhzhia Titanium and Magnesium Plant LLC.
The company requires the Supreme Court to cancel the decisions of the courts of first and appeal instances to terminate the constituent agreement of ZTMC LLC with returning the integral property complex to the state. Decisions are illegal and unreasonable from a legal point of view.
In particular, the breach of the agreement and the transfer of the enterprise’s integral property complex to the state is illegal, since the investor has fully complied with the terms of the agreement, having invested $110 million in ZTMC. Moreover, the constituent agreement cannot be terminated by law as far as it was suspended at the time of establishment of ZTMC LLC, that is, in November 2013.
We also note that the plaintiff, represented by Specialized Anti-Corruption Prosecutor’s Office hasn’t proved that there are sufficient evidence for breaking the constituent agreement on the establishment of ZTMC LLC between Tolexis Trading Limited and the State Property Fund of Ukraine.
Thus, the courts deliberately ignored numerous norms of the Commercial Code, Civil Codes and other regulatory acts that are fundamental to the legislation of any legal country, including Ukraine.
Courts’ decisions actually legalize the right of the state to neglect property rights, and also create precedents that allow the state to similarly take away the property of any other investor.