Russia Partners has filed suits with UK and Cyprus Courts against Eurocement Group, Filaret Galchev and two Cyprus companies seeking to deprive Eurocement JSC, a joint company, in which Russia Partners holds a 44.4 per cent stake, one of its major assets - namely 38.7 per cent of Maltsevskiy portlandtsement stocks, said Russia Partners. These suits will add suits considered by Russian courts accusing Galchev and Eurocement Group in permanent withdrawal of key assets from the joint company, profit and monetary flows for Eurocement Group.
Financial effect of the abuse before the end of 2004 is estimated at more than US$230m. UK and Cyprus court will consider Russia Partners transfer of its 38.7 per cent stake of Maltsevskiy portlandtsement for Eurocement in 2004 to consolidate stakes of Russia Partners in the cement sector for the joint company which then held 52.7 per cent of Maltsevskiy portlandtsement. The joint company did not receive assets worth a total of more than $100m.