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COBALT represented creditors of bank Snoras in relation to an investment dispute against the Lithuanian government

2012-03-19

Fourteen foreign companies, creditors of Bank Snoras represented by COBALT, have filed their claims against the Lithuanian Government, which represents the start of an investment dispute against Lithuania. The claims of two companies, filed prior to the bankruptcy proceedings of the bank, have been renewed.

Foreign companies represented by Elijus Burgis, Partner at COBALT, have filed their claims against the Lithuanian Government at the beginning of March, and by doing so have started preparations for international arbitration proceedings. The aggregate value of investments in dispute is about EUR 29 million.

"After examining the Government’s actions leading to the nationalisation and the declaration of bankruptcy of Bank Snoras our clients decided to take legal steps against the Republic of Lithuania. As a large number of foreign investors question not only the legality of such actions, but also the adequacy of supervision of Bank Snoras operations by the Bank of Lithuania, the number of such claims may increase," said Elijus Burgis.