London High Court of Justice, 11 May 2018, Statis v. The Republic of Kazakhstan, no. CL-2014-000070

An arbitration award dated 19 December 2013 has been made in favour of Statis against Kazakhstan in an international investment arbitration seated in Sweden. Statis requested the permission to enforce the award before the Courts of England and Wales. On 28 February 2014, Statis got the permission to enforce the award. The state of Kazakhstan applied to set the order aside, alleging that the award had been obtained by fraud.

In June 2017, the Court directed to proceed to trial because of Kazakhstan’s claim as the two conditions, pursuant the New York Convention regarding the awards obtained by fraud, were met (i.e. : the evidence to establish the fraud was not available to the party alleging the fraud at the time of the arbitration hearings and that there was a prima facie case of fraud). Statis filed a notice of discontinuance explaining that they do not have the resources to continue to a trial in the UK and that they have secured attachment orders in other countries and therefore there is no need to pursue enforcement in this country.

The Court set aside the notice of discontinuance as it did not accept the explanations made by Statis.

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