13th Jan 2015 15:36
LONDON (Alliance News) - Urals Energy PLC said Tuesday it has signed a settlement agreement with former director Viatcheslav Rovneiko, ending a dispute over a USD3.7 million loan the company granted to Rovneiko.
As part of the settlement, Rovneiko has agreed to withdraw his claim to recover USD41 million from the company, and Urals has agreed to terminate its recognition and collection efforts over the USD6.8 million plus interest that the London Court of International Arbitration ruled Rovneiko must pay.
Urals Energy said that its accounts in previous years did not make any provisions for the USD41 million claim, and that the loan that was the subject of the arbitration award has been fully written off in its accounts in previous periods. As a result, it does not need to make any write off, provision or adjustment to its accounts following the settlement.
Shares in Urals were trading up 12% at 4.20 pence Tuesday afternoon.
By Hana Stewart-Smith; [email protected]; @HanaSSAllNews
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