Deutsche Bank officially objected to Yukos filing for bankruptcy in a Houston court. Yukos's action could seriously damage the bank's interests, because the bank was preparing to grant a large loan to Gazpromneft, a bidder in the Yugansk auction.
"We are disregarding the commotion in America over the auction because we are acting within Russian legislation," said Alexander Komarov, a representative of the Russian Federal Property Fund, the organizer of the auction.
Alexander Shokhin, chairman of the Coordinating Council of Russian Business Unions, agreed, "the bailiffs' decision to hold the auction is absolutely legal." He suggested that Yukos's suit in Houston was an attempt by the company's management to save itself.
Russia and the US do not have an agreement on the mutual recognition of court decisions. Under American law, a company with assets in the US may use the US judicial system. The Moscow Arbitration Court called Yukos's actions illegal because Yukos is registered in Russia and therefore arbitration hearings concerning the company are only legal if they are held in Russia.
If the Houston court rules in favor of Yukos by placing an injunction on the auction, hypothetically, the company will have the opportunity to file claims against the buyer of Yuganskneftegaz outside Russia. The scandalous Swiss company, Noga, attempted this trick several years ago and had Russian ships arrested for alleged Russian debts and tried to seize Russian fighters at a Paris air show.
Mikhail Khodorkovsky, the former Yukos CEO, stated yesterday that the petition filed in a US court would not help the company's management protect shareholders from creditors.
