RUSAL, a leading global aluminium producer, filed a lawsuit in the High Court of Justice in London against Vladimir Potanin and his affiliate Whiteleave Holdings Limited.

RUSAL’s claims are based on Mr. Potanin's failure to fulfill his duties as Norilsk Nickel's managing partner and CEO. Under the management of Mr. Potanin, Norilsk Nickel lost a number of assets that played a key role in group’s activities. This resulted in Norilsk Nickel and its shareholders suffering significant losses.

RUSAL considers that Norilsk Nickel requires a professional independent executive with the necessary competencies as CEO. The Company also insists on compensation and other remedies for losses caused by Mr. Potanin. The value of compensation has to be determined by the court.

RUSAL continuously tried to enter into constructive dialogue with Mr. Potanin for an out-of-court settlement. However, these attempts have been unsuccessful. Now RUSAL must follow the dispute resolution procedures set in the 2012 Framework Agreement, which require RUSAL to bring claims in the High Court in London.

For reference:

Mr. Potanin and his Cypriot affiliate Whiteleave are parties to a legally binding agreement dated December 10, 2012 (Framework Agreement). Pursuant to the Framework Agreement, Mr. Potanin undertook to the shareholders as a managing partner to ensure the proper management of Norilsk Nickel.

Under the terms of the Framework Agreement there are certain claims termed “Material Breach”, with specific penalties and a prescribed procedure. On 21 October 2022, RUSAL issued a Claim Form in respect of Material Breaches with Whiteleave and Mr. Potanin as defendants.