A court has said that Russia must pay $50 billion to a group of former majority shareholders in defunct Russian oil company Yukos Ltd. — the largest such arbitration decision ever.
The Permanent Court of Arbitration in The Hague, Netherlands, ruled that Russia must pay nearly half of the $103 billion sum sought by the former owners of the company, plus interest.
The Kremlin dismantled Yukos and expropriated its assets between 2004 and 2007. The company was formerly controlled by Mikhail Khodorkovsky — once Russia's richest man.
Khodorkovsky was imprisoned for over a decade before being freed in December 2013 under an amnesty granted by the Vladimir Putin's governnment.
He claims the charges against him were revenge for his financing of opposition parties — something denied by the Kremlin.
The ruling will be a major blow for Russia as the country teeters on the brink of recession and is faced with economic sanctions relating to the ongoing crisis in Ukraine, according to Reuters.
However, reports are emerging that Russia will have no right to appeal.
This table published by the Financial Times shows how the Permanent Court was able to determine a fair value for Yukos' assets.
Francis Whittaker is a homepage editor for BuzzFeed News and is based in London.
Contact Francis Whittaker at email@example.com.
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