Arbitration Proceedings against Russia to protect the Investment lost in Crimea

By Sarthak Malhotra

A number of press reports suggest that PrivatBank (Dnipropetrovsk), the largest commercial bank in Ukraine, has decided to initiate arbitration proceedings against Russia in order to protect the investment that the bank allegedly lost due to the 2014 annexation of Crimea by the Russian Federation.

The Bank’s press service was quoted as saying:

PrivatBank jointly with Finilon finance company has initiated arbitration proceedings against the Russian Federation for the protection of the investment lost in Crimea. An arbitration court has been formed and will carry out the proceedings in accordance with the Arbitration Rules of the United Nations Commission on International Trade Law (UNCITRAL).

Read More »

ICSID Additional Facility (A Primer)

By Sarthak Malhotra

What is ICSID ?

The International Centre for Settlement of Investment Disputes (ICSID) was established by ICSID Convention, entered into force on October 24, 1966. The idea behind establishing ICSID was to make a body that will provide dispute resolution facilities( arbitration or conciliation) for investment disputes between Contracting States and nationals of other Contracting States.

Article 25(1) of the Convention elaborates upon the jurisdiction of ICSID.

According to Article 25(1),
[t]he jurisdiction of the Centre shall extend to any legal dispute arising directly out of an investment, between a Contracting State (or any constituent subdivision or agency of a Contracting State designated to the Centre by that State) and a national of another Contracting State, which the parties to the dispute consent in writing to submit to the Centre.

The Additional Facility Rules were adopted by the ICSID Administrative Council in 1978 to administer disputes that fall outside the scope of the ICSID Convention.

Read More »