Court declares nationalization of PrivatBank illegal. Kolomoyskyi prevails in action

Having considered the claim of Ihor Kolomoyskyi, the district administrative court of Kyiv declared the nationalization of PrivatBank illegal and sales contract of the bank's shares invalid. This is reported by LIGA with reference to the court's press service.

The consideration of this case at the suit of former bank owner Ihor Kolomoyskyi against the National Bank, Cabinet of Ministers, Deposit Guarantee Fund and Securities Commission continued from June 2017.

The procedure for the nationalization of PrivatBank was recognized by the court as "unfounded and such that was carried out with numerous violations of the legislation in force at the time, resulting in unlawful state intervention in the bank's shareholders' rights, including the plaintiff, to peacefully manage their property, what is a violation of requirements of national legislation, including the Constitution of Ukraine, and the provisions of international standards in this area".

The National Bank stated that it did not agree with the decision of the court and is preparing to file an appeal.

"The court decision has not entered into force and will be appealed by the National Bank. We will continue to prove the legality of actions and decisions taken by the regulator in the appeals instance. Once again, we draw attention to the fact that the legal uncertainty generated by judicial decisions undermines financial stability", - the press service noted.

PrivatBank was nationalized in December 2016. Prior to that, it was owned by Ihor Kolomoyskyi and Gennadiy Bogolyubov. At the end of February 2019, Kolomoyskyi filed dozens of lawsuits against the nationalization.