Europe

Dutch appeals court rules Russia knowingly bankrupted Yukos

A Dutch appeals court has ruled that Russian authorities knowingly plunged oil giant Yukos into bankruptcy in 2006 by ordering it to pay huge tax bills, the latest ruling in a long-running battle over the assets of a Dutch Yukos subsidiary.

Amsterdam Appeals Court's ruling Tuesday said that the Yukos bankruptcy could not be recognized under Dutch law and that a curator appointed to sell off parts of Yukos in 2007 did not have the right to sell the shares in Dutch-based Yukos Finance BV.

A group representing former Yukos shareholders welcomed the decision. Former Yukos Chief Executive Steve Theede said in a statement that the Dutch ruling "exposed the extent to which the Russian Federation will go to manipulate the legal process and ignore the rule of law."