The Commercial Court of Kyiv confirmed the legality of the nationalization of “PrivatBank”. The case based on the lawsuit of the former shareholder Hennadii Boholyubov regarding invalidation of purchase and sale contracts as part of the nationalization of the bank was closed.
This was reported by the press service of “PrivatBank”.
The court confirmed the impossibility of returning the bankʼs shares to the former owners, businessmen Ihor Kolomoiskyi and Hennadii Boholyubov.
Nationalization of “PrivatBank”
PrivatBank, the largest commercial bank in Ukraine, was nationalized on December 19, 2016. Ukraine recapitalized the bank by 155 billion hryvnias. Previously, it belonged to businessmen Ihor Kolomoiskyi and Hennadii Boholyubov. In December 2017, “PrivatBank” sued its former owners. The plaintiffs claim that the businessmen withdrew approximately $2 billion from the bank by conducting a series of illegal transactions. The former owners of the bank deny its nationalization.
On April 18, 2019, the District Administrative Court of Kyiv considered the case based on Kolomoiskyiʼs lawsuit against the National Bank, the Cabinet of Ministers, the Individual Deposit Guarantee Fund, and the National Commission for Securities and the Stock Market regarding the recognition of the illegal nationalization of “PrivatBank”. Then the court recognized the decision on nationalization as illegal. In May 2019, the Cabinet of Ministers decided to appeal the decision of the District Administrative Court of Kyiv to declare the nationalization of “PrivatBank” illegal.
On November 15, the Sixth Appeals Administrative Court annulled the decision of the District Administrative Court of Kyiv on the illegality of the nationalization of “PrivatBank”. Proceedings in the case were closed.