{"id":536,"date":"2009-11-03T09:57:22","date_gmt":"2009-11-03T14:57:22","guid":{"rendered":"http:\/\/www.commerciallawinternational.com\/?p=536"},"modified":"2009-11-03T09:57:22","modified_gmt":"2009-11-03T14:57:22","slug":"russia-drops-two-year-legal-battle-against-new-york-bank","status":"publish","type":"post","link":"https:\/\/www.commerciallawinternational.com\/?p=536","title":{"rendered":"Russia Drops Two Year Legal Battle Against New York Bank"},"content":{"rendered":"<p><em>By: Ainsley Brown<\/em><\/p>\n<p>The <a href=\"http:\/\/www.customs.ru\/en\/\" target=\"_blank\">Russian Federal Customs Service <\/a>has dropped its $22.5 billion suit against <a title=\"BNY\" href=\"http:\/\/www.bnymellon.com\/\" target=\"_blank\">Bank of New York Mellon <\/a>(BNY), the world\u2019s largest custodian of assets.<\/p>\n<p>Yes, you read that correctly that 22.5 Billion with a B. The suit was brought by the Russian Federal Customs Service in 2007 alleging that BNY was at the centre of illegal money transfers from BNY account out of Russia between 1996 and 1999. BNY it was alleged assisted its clients to avoid the payment of taxes, import duties and to hide the proceeds of crime.<\/p>\n<p>The Russians brought the suit after a BNY vice-president and Russian \u00e9migr\u00e9, Lucy Edwards and her husband plead guilty to charges in the US of conspiracy in relation to the illegally transferring $7.5 billion. The two were sentenced to six months house arrest, ordered to pay a fine of $ 20,000 and $685,000 in compensation, and put on five years probation. BNY was never charged in relation to the incident and cut a non-prosecution deal with US authorities.<\/p>\n<p>These convictions formed a central pivot in the Russian claim. \u00a0Authorities there invoked <a href=\"http:\/\/en.wikipedia.org\/wiki\/Racketeer_Influenced_and_Corrupt_Organizations_Act\" target=\"_blank\">US anti-racketeering law\u00a0<\/a>to arrive at the $22.5 billion figure \u2013 three times the mount originally transferred out of Russia.<\/p>\n<p>The suit however has now been drop with BNY agreeing to pay the $14 million legal cost of the Russian Federal Customs Service. \u00a0And incidentally \u2013 both sides claim this to be totally unrelated \u2013 BNY has proved two unnamed Russian state banks with a renewable loan facility of $4 billion over five years. \u00a0What timing, eh.<\/p>\n<h3 class='related_post_title'>Related Posts:<\/h3><ul class='related_post'><li><a href=\"http:\/\/www.commerciallawinternational.com\/?p=660\" title=\"Russian Central Bank Buys Canadian Dollars\">Russian Central Bank Buys Canadian Dollars<\/a><\/li><li><a href=\"http:\/\/www.commerciallawinternational.com\/?p=598\" title=\"Research In Motion Faces Potential US International Trade Commission Investigation\">Research In Motion Faces Potential US International Trade Commission Investigation<\/a><\/li><li><a href=\"http:\/\/www.commerciallawinternational.com\/?p=558\" title=\"Canadian Exports Up\">Canadian Exports Up<\/a><\/li><li><a href=\"http:\/\/www.commerciallawinternational.com\/?p=527\" title=\"London Banks Set To Write Living Wills\">London Banks Set To Write Living Wills<\/a><\/li><li><a href=\"http:\/\/www.commerciallawinternational.com\/?p=497\" title=\"Philip Morris Sues Irish Government\">Philip Morris Sues Irish Government<\/a><\/li><\/ul>","protected":false},"excerpt":{"rendered":"<p>By: Ainsley Brown The Russian Federal Customs Service has dropped its $22.5 billion suit against Bank of New York Mellon (BNY), the world\u2019s largest custodian of assets. Yes, you read that correctly that 22.5 Billion with a B. The suit was brought by the Russian Federal Customs Service in 2007 alleging that BNY was at the centre of illegal money&hellip; <span class=\"read-more-span\"><a href=\"https:\/\/www.commerciallawinternational.com\/?p=536\" class=\"more-link\">Continue reading<span class=\"screen-reader-text\"> &#8220;Russia Drops Two Year Legal Battle Against New York Bank&#8221;<\/span><\/a><\/span><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"jetpack_post_was_ever_published":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":false,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[39,12,24,77,40,5],"tags":[78,733,728,729,79,730,731,735,734,726,727,732],"class_list":["post-536","post","type-post","status-publish","format-standard","hentry","category-asset-management","category-banking","category-crime","category-government-policy","category-litigation","category-tax","tag-ainsley-brown","tag-anti-racketeering","tag-bank-of-new-york-mellon","tag-bny","tag-commercial-law-international","tag-illegal-money-transfers","tag-lucy-edwards","tag-rico-act","tag-russia","tag-russia-drops-two-year-legal-battle-against-new-york-bank","tag-russian-federal-customs-service","tag-us-anti-racketeering-law"],"acf":[],"aioseo_notices":[],"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_shortlink":"https:\/\/wp.me\/p8VWXZ-8E","jetpack-related-posts":[],"jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.commerciallawinternational.com\/index.php?rest_route=\/wp\/v2\/posts\/536","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.commerciallawinternational.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.commerciallawinternational.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.commerciallawinternational.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.commerciallawinternational.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=536"}],"version-history":[{"count":1,"href":"https:\/\/www.commerciallawinternational.com\/index.php?rest_route=\/wp\/v2\/posts\/536\/revisions"}],"predecessor-version":[{"id":537,"href":"https:\/\/www.commerciallawinternational.com\/index.php?rest_route=\/wp\/v2\/posts\/536\/revisions\/537"}],"wp:attachment":[{"href":"https:\/\/www.commerciallawinternational.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=536"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.commerciallawinternational.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=536"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.commerciallawinternational.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=536"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}