Chinese company to sue Ukraine for wrongful seizure of property
China National Building Material (CNBM) has notified the Ukrainian Justice Ministry about an investment dispute surrounding the Voskhod Solar power station in the Mykolaiv region, the Ukrainian News Agency reports.
This indicates that the Chinese company intends to file a lawsuit against the Ukrainian government if the parties cannot reach an agreement.
CNBM, which owns Voskhod Solar, claims that the company has become the object of a corporate raid and forceful property seizure by the private finance company Vesta. The Chinese company claims that this took place “with the support or indulgence of the Ukrainian government bodies, state agencies and legal system”.
The document goes into detail about how this attack was carried out through the courts and other law enforcement organs. CNBM accuses the Ukrainian government of “undertaking or failing to prevent all of these illegal actions”.
“This will effectively lead to the expropriation of CNBM’s investment in Ukraine through the paralyzing of its activity, profitability and all its operations,” the letter states.
The Chinese company estimates its losses at €110 million.
Recently Chen Youngzhi, CEO of CNBM New Energy Engineering, announced that the Chinese state-owned corporation may sue the Ukrainian government for limiting a foreign investor’s access to justice.