Stati v. Republic of Kazakhstan

CourtDistrict Court, District of Columbia
DecidedAugust 5, 2016
DocketCivil Action No. 2014-1638
StatusPublished

This text of Stati v. Republic of Kazakhstan (Stati v. Republic of Kazakhstan) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Stati v. Republic of Kazakhstan, (D.D.C. 2016).

Opinion

81,7(' 67$7(6 ',675,&7 &2857 )25 7+( ',675,&7 2) &2/80%,$ BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB

$1$72/,( 67$7, *$%5,(/ 67$7, $6&20 *5283 6$ 7(55$ 5$) 75$16 75$,',1* /7'

3HWLWLRQHUV

Y &LYLO $FWLRQ 1R  $%-

5(38%/,& 2) .$=$.+67$1

5HVSRQGHQW BBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBBB

0(025$1'80 23,1,21 25'(5 7KH SHWLWLRQHUV LQ WKLV DFWLRQ DUH $QDWROLH 6WDWL DQG *DEULHO 6WDWL ³6WDWL´  $VFRP *URXS

6$ ³$VFRP´  D FRPSDQ\ LQFRUSRUDWHG LQ 0ROGRYD DQG RZQHG E\ $QDWROLH 6WDWL DQG 7HUUD 5DI

7UDQV 7UDLGLQJ /WG ³7HUUD 5DI´  D FRPSDQ\ LQFRUSRUDWHG LQ *LEUDOWDU DQG RZQHG LQ HTXDO VKDUHV

E\ $QDWROLH DQG *DEULHO 6WDWL 7KH\ KDYH ILOHG D SHWLWLRQ WR FRQILUP D 'HFHPEHU  

DUELWUDWLRQ DZDUG DJDLQVW UHVSRQGHQW WKH 5HSXEOLF RI .D]DNKVWDQ ³.D]DNKVWDQ´  UHODWHG WR

.D]DNKVWDQ¶V DOOHJHG YLRODWLRQ RI WKH (QHUJ\ &KDUWHU 7UHDW\ DQ LQWHUQDWLRQDO DJUHHPHQW VLJQHG E\

WKH UHVSRQGHQW 3HW WR &RQILUP $UELWUDO $ZDUG ³3HW´ >'NW  @ ˆˆ    3HWLWLRQHU VHHNV

WR FRQILUP WKH DZDUG SXUVXDQW WR WKH )HGHUDO $UELWUDWLRQ $FW ³)$$´   86& †  et seq.

ZKLFK FRGLILHV WKH 8QLWHG 1DWLRQV &RQYHQWLRQ RQ WKH 5HFRJQLWLRQ DQG (QIRUFHPHQW RI )RUHLJQ

$UELWUDO $ZDUGV -XQH    8176  3HW ˆ  7KH &RXUW ILQGV DV D SUHOLPLQDU\

PDWWHU WKDW LW KDV MXULVGLFWLRQ XQGHU ERWK WKH )$$ DQG WKH )RUHLJQ 6RYHUHLJQ ,PPXQLWLHV $FW %XW

JLYHQ WKH SHQGHQF\ RI D SURFHHGLQJ WR VHW DVLGH WKH DUELWUDO DZDUG DQG WKH VWDWXV RI WKDW SURFHHGLQJ

 7KH WUHDW\ LV PRUH FRPPRQO\ NQRZQ DV WKH ³1HZ

 WKH &RXUW EHOLHYHV WKDW LW LV SUXGHQW WR VWD\ WKH LQVWDQW DFWLRQ SHQGLQJ UHVROXWLRQ RI WKDW FKDOOHQJH

7KHUHIRUH WKLV PDWWHU ZLOO EH VWD\HG DQG WKH SDUWLHV ZLOO EH RUGHUHG WR ILOH D VWDWXV UHSRUW DGYLVLQJ

WKH &RXUW RI WKH VWDWXV RI WKH FXUUHQWO\ SHQGLQJ SHWLWLRQ LQ WKH 6YHD &RXUW RI $SSHDO ZLWKLQ VHYHQ

GD\V RI DQ\ GHFLVLRQ E\ WKDW FRXUW

)$&78$/ %$&.*5281'

3HWLWLRQHUV KDYH EHHQ HQJDJHG LQ WKH RLO DQG JDV EXVLQHVV LQ .D]DNKVWDQ IRU DSSUR[LPDWHO\

 \HDUV ,Q  SHWLWLRQHU $VFRP $QDWROLH 6WDWL¶V FRPSDQ\ SXUFKDVHG D  VKDUH LQ .30

D FRPSDQ\ WKDW RZQHG WKH VXEVRLO XVH ULJKWV WR WKH %RUDQNRO RLO ILHOG LQ .D]DNKVWDQ 3HW ˆ  ,Q

 SHWLWLRQHUV DFTXLUHG D  LQWHUHVW LQ 71* D FRPSDQ\ WKDW RZQHG WKH VXEVRLO XVH ULJKWV WR

WKH 7RON\Q JDV ILHOG DQG WKH 7DE\O H[SORUDWLRQ EORFN ³7DE\O %ORFN´  Id. ˆ  $VFRP XOWLPDWHO\

DFTXLUHG  RI .30 DQG 7HUUD 5DI DOOHJHGO\ FDPH WR RZQ  RI 71* Id. ˆ  ,Q 

.30 DQG 71* REWDLQHG DSSURYDO IURP .D]DNKVWDQ WR H[SORUH DQG GHYHORS YDULRXV RLO DQG JDV

ILHOGV ORFDWHG LQ .D]DNKVWDQ $UE $ZDUG >'NW     @ ³$ZDUG´ ˆ  $ \HDU

ODWHU LQ  SHWLWLRQHUV WKURXJK .30 DQG 71* LQYHVWHG PRUH WKDQ RQH ELOOLRQ GROODUV LQ WKH

GHYHORSPHQW RI WKH %RUDQNRO DQG 7RON\Q ILHOGV DQG WKH 7DE\O %ORFN 3HW ˆ 

,Q  WKH 3UHVLGHQW RI 0ROGRYD FRQWDFWHG WKH 3UHVLGHQW RI .D]DNKVWDQ DQG DFFXVHG

$QDWROLH 6WDWL RI LOOHJDOO\ FRQFHDOLQJ SURILWV LQ RIIVKRUH WHUULWRULHV DQG LOOHJDOO\ XVLQJ WKH SURFHHGV

IURP KLV .D]DNKVWDQ RSHUDWLRQV WR LQYHVW LQ VWDWHV VXEMHFW WR VDQFWLRQV E\ WKH 8QLWHG 1DWLRQV

$ZDUG ˆ  .D]DNKVWDQ VXEVHTXHQWO\ EHJDQ D JRYHUQPHQW LQYHVWLJDWLRQ RI 6WDWL DQG KLV

 %HFDXVH WKH &RXUW PXVW VDWLVI\ LWVHOI WKDW LW KDV MXULVGLFWLRQ EHIRUH LW WXUQV WR WKH PHULWV RI WKH SHWLWLRQ WR FRQILUP WKH DUELWUDWLRQ DZDUG WKLV RSLQLRQ ZLOO IRFXV RQO\ RQ WKH IDFWV UHOHYDQW WR WKH MXULVGLFWLRQDO TXHVWLRQV

 .D]DNKVWDQ GLVSXWHV WKH YDOLGLW\ RI WKH WUDQVIHU RI 71* WR 7HUUD 5DI 5HVS¶W¶V 2SS WR 3HW >'NW  @ ³5HVS¶W¶V 2SS´ DW  Q  FRPSDQLHV Id. ˆ¶   3HWLWLRQHUV DQG UHVSRQGHQW GLVDJUHH RQ ZKDW IROORZHG $FFRUGLQJ WR

SHWLWLRQHUV WKH JRYHUQPHQW RI .D]DNKVWDQ EHJDQ WR LQWLPLGDWH DQG KDUDVV SHWLWLRQHUV LQWR VHOOLQJ

WKHLU LQYHVWPHQWV WR WKH VWDWHRZQHG .D]0XQDL*DV DW D VXEVWDQWLDO GLVFRXQW 3HW ˆ 

6SHFLILFDOO\ SHWLWLRQHUV FODLP WKDW .D]DNKVWDQ ³EDVHOHVVO\´ DFFXVHG SHWLWLRQHUV RI IUDXG DQG

IRUJHU\ OHYLHG PRUH WKDQ  PLOOLRQ GROODUV LQ EDFN WD[HV DUUHVWHG .30¶V JHQHUDO PDQDJHU IRU

³LOOHJDO HQWUHSUHQHXULDO DFWLYLW\´ DQG XOWLPDWHO\ VHL]HG DOO RI .30 DQG 71*¶V DVVHWV Id. $QG LQ

-XO\ RI  .D]DNKVWDQ WHUPLQDWHG SHWLWLRQHUV¶ VXEVRLO XVH FRQWUDFWV $ZDUG ˆ 

3HWLWLRQHUV DVVHUW WKDW LQ  WKH\ FRQWDFWHG UHVSRQGHQW LQ UHVSRQVH WR WKH DOOHJHG

KDUDVVPHQW 2Q 0DUFK   6WDWL ZURWH WR .D]DNKVWDQ¶V 0LQLVWU\ RI (QHUJ\ DQG 0LQHUDO

5HVRXUFHV DQG UHTXHVWHG DQ DPLFDEOH UHVROXWLRQ WR WKH 0LQLVWU\¶V UHVFLVVLRQ RI LWV SULRU DSSURYDO

RI 7HUUD 5DI¶V DFTXLVLWLRQ RI LWV .D]DNK VXEVLGLDU\ $ZDUG ˆ  7KH QH[W GD\ 0DUFK  

WKH H[HFXWLYHV IURP 7HUUD 5DI DQG $VFRP PHW ZLWK WKH 0LQLVWU\¶V H[HFXWLYH VHFUHWDU\ WR GLVFXVV

UHVROXWLRQ RI WKDW LVVXH DQG RWKHU DOOHJHG KDUDVVPHQW Id. ˆ  -XVW XQGHU WZR PRQWKV ODWHU RQ

0D\   6WDWL ZURWH D OHWWHU WR WKH SUHVLGHQW RI .D]DNKVWDQ WKDW VHW IRUWK SHWLWLRQHUV¶ LQWHQWLRQ

WR EULQJ DUELWUDWLRQ FODLPV DJDLQVW .D]DNKVWDQ IRU WKH GLPLQXWLRQ RI WKH YDOXH RI WKHLU LQYHVWPHQWV

$ZDUG ˆ 

.D]DNKVWDQ¶V YHUVLRQ RI HYHQWV LV WKDW WKH .D]DNK 7D[ DQG &XVWRPV &RPPLWWHH SURSHUO\

DVVHVVHG  PLOOLRQ GROODUV LQ WD[HV WR SHWLWLRQHUV DQG WKDW D ODZIXO FULPLQDO LQYHVWLJDWLRQ E\ WKH

.D]DNK DXWKRULWLHV OHG WR LQ WKH DUUHVW DQG LPSULVRQPHQW RI .30¶V *HQHUDO 'LUHFWRU $ZDUG

ˆˆ     5HVSRQGHQW PDLQWDLQV WKDW LW ZDV WKH LQYHVWLJDWLRQ WKDW OHG WR WKH

WHUPLQDWLRQ RI .30 DQG 71*¶V VXEVRLO XVH FRQWUDFWV RQ -XO\   DQG LW GLVSXWHV WKH FODLP

WKDW .D]DNKVWDQ H[SURSULDWHG SHWLWLRQHUV¶ DVVHWV Id. ¶ˆ ± ,QVWHDG UHVSRQGHQW WDNHV WKH

 SRVLWLRQ WKDW WKH .D]DNK VWDWH RLO FRPSDQ\ DQG LWV VXEVLGLDU\ SODFHG SHWLWLRQHUV¶ RLO DQG JDV ILHOGV

LQWR WUXVW PDQDJHPHQW RQ D WHPSRUDU\ EDVLV RQO\ Id. ˆ 

2Q -XO\   SHWLWLRQHUV ILOHG D UHTXHVW IRU DUELWUDWLRQ 5HT IRU $UE ([ & WR 'HFO

RI &KDUOHQH & 6XQ >'NW  ±@ ³5HT IRU $UE´  7KH UHTXHVW VWDWHV

2YHU WKH SDVW WZR \HDUV .D]DNKVWDQ KDV HQJDJHG LQ D FDPSDLJQ RI KDUDVVPHQW DQG LOOHJDO DFWV DJDLQVW >SHWLWLRQHUV@ WKDW FXOPLQDWHG RQ -XO\   ZLWK WKH 6WDWH¶V QRWLFH RI XQLODWHUDO WHUPLQDWLRQ RI WKH FRPSDQLHV¶ 6XEVRLO 8VH &RQWUDFWV WKH LOOHJDO H[SURSULDWLRQ RI >SHWLWLRQHUV¶@ .D]DNK LQYHVWPHQWV DQG WKH VXEVHTXHQW FRPPDQGHHULQJ RI >SHWLWLRQHUV¶@ RIILFHV E\ SHUVRQQHO RI 6WDWHRZQHG .D]0XQDL*DV DQG WKH .D]DNK 0LQLVWU\ RI 2LO DQG *DV

Id. ˆ  7KH UHTXHVW LQYRNHG WKH (QHUJ\ &KDUWHU 7UHDW\ DQG DVVHUWHG WKDW .D]DNKVWDQ¶V KDUDVVPHQW

³FOHDUO\ KDG H[SURSULDWLRQ DV LWV XOWLPDWH JRDO DQG LW KDG WKH HIIHFW LQ WKH SURFHVV RI GHVWUR\LQJ

ERWK WKH PDUNHW YDOXH DQG DOLHQDELOLW\ RI >SHWLWLRQHUV¶@ LQYHVWPHQWV´ Id. ˆˆ  

7KH SDUWLHV DUELWUDWHG WKH GLVSXWH EHIRUH WKH $UELWUDWLRQ ,QVWLWXWH RI WKH 6WRFNKROP &KDPEHU

RI &RPPHUFH ³6&&´  2Q 'HFHPEHU   WKH 7ULEXQDO GHWHUPLQHG WKDW .D]DNKVWDQ EUHDFKHG

LWV REOLJDWLRQ WR SURYLGH IDLU DQG HTXLWDEOH WUHDWPHQW XQGHU DUWLFOH   RI WKH (&7 $ZDUG

ˆˆ ± 7KH 7ULEXQDO DZDUGHG SHWLWLRQHUV  7KLV WRWDO LQFOXGHG  PLOOLRQ

IRU WKH %RUDQNRO DQG 7RON\Q RLO DQG JDV ILHOGV  PLOOLRQ IRU WKH VXEVRLO XVH FRQWUDFWV 

PLOOLRQ IRU DQ XQILQLVKHG SODQW DQG  LQ OHJDO FRVWV Id. ˆˆ   

2Q 6HSWHPEHU   SHWLWLRQHUV FRPPHQFHG WKLV SURFHHGLQJ WR FRQILUP WKH DUELWUDWLRQ

DZDUG XQGHU WKH 1HZ

Free access — add to your briefcase to read the full text and ask questions with AI

Cite This Page — Counsel Stack

Bluebook (online)
Stati v. Republic of Kazakhstan, Counsel Stack Legal Research, https://law.counselstack.com/opinion/stati-v-republic-of-kazakhstan-dcd-2016.