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loans extended between 2008 and 2015 by the NBU to PrivatBank," the statement reads. In total, these claims seek to recover nearly UAH10bn ($384mn) due under five loan agreements.
In another case a Ukrainian regional court refused to act against Kolomoisky on the grounds that its jurisdiction “doesn't extend to Switzerland,” where Kolomoisky lives.
The PGO’s list represents a step forward as now the use of the stolen money has been clearly identified and the link to the funds withdrawn from PrivatBank established, Lutsenko said. The NBU hired private investigators Kroll to do the research, which has managed to track down much of the missing $5.5bn.
"Currently we have the news that we have established huge assets of $5.5bn, those at the end of the scheme, from yachts and Picasso's paintings to factories and real estate. This is the progress now," Lutsenko said.
But Lutsenko added that to recovery the specified assets, it is necessary to establish their ultimate beneficial owner with a document that can be used in a court of law. He noted that “the statements of Kroll after the forensic audit have no legal force.”
"The Kroll study showed how some companies used 30-40 accounts in Cyprus and transferred the funds in one day and out the next to bring them to the "third wave" - a kind of offshore company that acquired certain assets. Now it is known what assets they are and this is similar to money laundering - Article 209 of the Criminal Code. But now the court needs a specific document certifying who is the beneficiary of this property. If these are really the ex-owners of PrivatBank, then we will be able to seize them through the Ukrainian court and the courts of other jurisdictions – there are many countries there, including the United States, Luxembourg, Austria, Spain, Cyprus," he said reports Interfax.
The PGO is now working on confirmation the identity of the beneficiary owners of these assets.
2.3 Naftogaz $500mn Eurobond offer fails on reliability concerns
Ukraine’s state-owned gas monopolist Naftogaz postponed a placement of $500mn Eurobonds slated to happen on November 14 , due to poor demand on the international capital markets, the company announced.
The government approved the company’s plan to issue bonds shortly after a new deal with Ukraine’s main donor the International Monetary Fund (IMF) was agreed at the start of October. The government itself immediately issued a $2bn Eurobond to shore up its fund needs and cover debt redemptions through to the middle of next year. However, Naftogaz did not get such a warm reception.
The company has been on a roadshow for the last week and received $700mn in bids for the 5-year notes, but investors were asking for more than the 10.9% target interest rate due to investors concerns over Ukraine’s reliability.
“Unfortunately Ukraine is now paying the price for the long delay in getting IMF
8 UKRAINE Country Report December 2018 www.intellinews.com