On June 21, Russian steelmaker Novolipetsk Iron and Steel Corp. (NLMK) announced that the Moscow City Arbitration Court has overturned the International Commercial Arbitration Court (ICAC) ruling from March 31, 2011 made in favor of Nikolay Maximov, founder of Maxi Group, regarding the dispute between him and NLMK on the completion of payments by NLMK for its acquisition of Maxi Group.
As a result of the ICAC ruling, Nikolay Maximov claimed Ruble 9.5 billion ($0.33 billion) in compensation. However, Moscow City Arbitration Court has supported NLMK's position and dismissed Maximov's claims.
NLMK also stated that all the misleading statements made by Maximov regarding Maxi Group's actual state of business in the shareholder agreement were revealed; however, the ICAC had ignored this situation. NLMK will continue to stand by its position in courts, including a suspension of the proceedings initiated in the court of Amsterdam, the Netherlands, freezing the foreign assets of the company based on the unlawful ruling from the ICAC.