MOSCOW, October 30 - RAPSI. The Moscow Commercial Court will reconsider on December 3 the lawsuit filed by Ingosstrakh minority shareholders to invalidate the decision taken at the 2011 shareholders meeting to approve interested party transactions, the court told the Russian Legal Information Agency (RAPSI/rapsinews.com) on Tuesday.
Ingosstrakh minority shareholders Vega, Novy Kapital (New Capital) and Investitsionnaya Initsiativa (Investment Initiative), as well as two private shareholders, filed the lawsuit.
Vega, New Capital and Investment Initiative are controlled by PPF Investments, which owns a 38 percent stake in Ingosstrakh.
The minority shareholders are dissatisfied with the board's decision to approve party-related transactions. The plaintiffs believe that Ingosstrakh shareholders, which own an aggregate 60 percent stake in the company, are affiliated with Oleg Deripaska's Basic Element, and thus should not have voted on transactions concerning other firms affiliated with the holding.
PPF Investments has disputed Ingosstrakh's practice for approving interested party transactions with entities, which are controlled by Basic Element as well as Ingosstrakh, for over three years. The minority shareholders believe that Basic Element finances other holding's companies by approving such transactions without receiving the consent of Ingosstrakh's other shareholders, which violates the law on liability companies. Additionally, this incurs losses to other Ingosstrakh shareholders, as they claim.
"We insist that the decisions taken at the shareholders meeting are legal," Ingosstrakh Board Chairman Oleg Vikhansky told the PRIME business news agency. "We will defend our position in court despite the continuing attempts made by PPF's representatives to destabilize the company's work and to inflict damage on the reputation of its management."