According to the press release, the court ruling will be valid till Surgutneftegaz's petition to halt the arbitration process completely is considered on September 7, 2004.
In its demand to hold arbitration, Harvard filed claims of violating the Depositary Agreement and the rights of holders of American Depositary Receipts (ADR) by Surgutneftegaz's failure to pay dividends according to its charter.
Surgutneftegaz disagrees with the claim and says that Russian courts of all level, including the Supreme Court, had ruled that its many-year dividend policy fully corresponded to its charter and Russian law.
Harvard, which procured its ADRs after Russian courts adopted the abovementioned decisions, is making illegal attempts to have Surgutneftegaz dividend policy reviewed within the arbitration process in the U.S., the press release runs.
Surgutneftegaz filed a petition to the Supreme Court of New York to stop the arbitration process for a series of reasons, including due to the fact that the sides had not agreed to solve disputes in Surgutneftegaz's local corporate policy through arbitration, including the AAA.
One of the most prestigious U.S. colleges wants Surgutneftegaz to pay dividends on shares to the sum of at least $3.7 million, an official spokeswoman for the college earlier told RIA Novosti.
In her words, the claim is objective, which allows the arbitration board of three judges to decide on the company's payment of an equal compensation to all the other holders of privileged shares in the ADR form.
According to her, Harvard holds about three million of ADRs in Surgutneftegaz to the price of $130 million, which it acquired in 2002-2003 via its investment branch Harvard Management Company. This investment is an integral part of the investment portfolio of the university, stressed the spokeswoman.
According to the claim, Surgutneftegaz halted accounting registration in accordance with international standards and checks by an international auditing firm, and calculates profits with due heed of expenses and investment.
As a result, dividends were allotted to holders of privileged shares only from 35% of the total profits, and in 2003 - from 21%, said the spokeswoman.
