PhosAgro stands behind Andrey Guryev Sr in $1.2bn court case

By James Sean Dickson
Published: Friday, 12 June 2015

The Russian fertiliser company has reiterated its backing of Andrey Guryev Sr, the deputy chairperson of PhosAgro. Alexander Gorbachev’s court case is now understood to be a private proceeding, not a public prosecutions office case.

Russian phosphate fertiliser producer PhosAgro OAO has backed Andrey Guryev Sr in a Cypriot court case that alleges the misappropriation of $1.2bn worth of shares in the company.

"The company declared at the time, and maintains today, that the claim has no legal basis and PhosAgro will defend its position in any jurisdiction," PhosAgro reiterated today.

"Accurate information about the shareholder structure of PhosAgro is available on the company’s website and in other official documents, including in its initial public offering (IPO) and secondary public offering (SPO) prospectuses," PhosAgro added.

Alexander Gorbachev released a press statement yesterday stating that a court case is being prepared against Guryev regarding verbal agreements between the two men over the ownership of the shares.

Gorbachev was forced to leave Russia for political reasons in 2004, when it is alleged that he handed a 24% stake in PhosAgro to Guryev in trusteeship.

IM previously published an article stating that the court case was a Cypriot public prosecution office-led case, based on a source and the use of the passive voice in a press release. However, the proceedings are now understood to be private.

"The company notes that in his press release today, Gorbachev and his public relations (PR) agency misrepresent the nature of the proceedings in Cyprus. They falsely imply that the criminal proceedings have been commenced by the Cypriot prosecuting authorities," PhosAgro said.

"In fact, they are private proceedings, brought to the court by Gorbachev alone, and Cypriot prosecuting authorities are not pursuing any criminal cases in relation to these accusations. As such they do not represent the position or conclusions of any law enforcement authorities in any country," the company added.

More like this