Romanian prosecutors seize Lukoil’s accounts abroad, for EUR 2 bln damage

Romanian prosecutors have decided to seize assets belonging to the Lukoil Europe BV Netherlands and Petrotel Lukoil, both part of Russian group Lukoil, of up to EUR 2 billion, in a case of tax evasion and money laundering, according to the Ploiesti Court of Appeal's Prosecutor's Office. They have seized bank accounts held by Lukoil Europe BV Netherlands at British and Dutch banks, as well as the shares the firm holds in Petrotel-Lukoil SA Ploiesti, the local subsidiary of Russian group Lukoil, which controls the Petrotel Ploiesti refinery. It is for the first time that Romanian prosecutors seize accounts held at foreign banks by companies that operate in Romania. It's also the highest distraint ever imposed in Romania Prosecutors have also placed five people, including two Russian citizens, under judicial control. All of them are employees of Petrotel Lukoil. According to the prosecutors, Petrotel Lukoil’s commercial policy and the financial operations between the company and its majority shareholder, Lukoil Europe BV Netherlands, have led to its decapitalization. The damage generated by misusing the company’s capital is estimated at EUR 1.1 billion and USD 1.5 billion, according to the prosecutors. They are also investigating the company for money laundering. The Romanian prosecutors from Ploiesti started an investigation against Lukoil last year. The probe, which also involved asset seizures, determined political reactions in Romania and Russia. Prosecutors investigate EUR 200 mln tax evasion & money laundry case at Lukoil’s Romanian refinery Romanian prosecutors seize EUR 235 mln worth of Lukoil inventories in tax evasion case Lukoil threatens to shut down refinery in Romania if prosecutors’ asset seizure not lifted Romanian President: Government should be prepared to take over Lukoil refinery if Russians decide to shut it down Lukoil notifies Romanian authorities about Ploiesti refinery production re-start Romania’s biggest companies: Who made it over the EUR 1 bln mark in 2014? editor@romania-insider.com