CYK successfully defends $8.8billion worldwide freezing injunction application for client

In August 2023, Mr Ziyavudin Magomedov (a Russian oligarch who was jailed in 2022 for 19 years on fraud and embezzlement charges) filed a US$14 billion conspiracy claim in the Commercial Court alleging that various of his businesses were seized in a conspiracy led by the Russian State. CYK act for Domidias Limited and Mr Andrey Severilov who are defendants to that conspiracy claim, understood to be the largest non-class action claim commenced in the Commercial Court to date.

On 27 October 2023, the Commercial Court (Mr Justice Butcher) handed down judgment in favour of Mr Severilov (among other defendants), refusing to grant Magomedov a US$8.8billion worldwide freezing injunction (WFO) in relation to those conspiracy proceedings: Magomedov and Others v TPG Group and Others [2023] EWHC 2655 (Comm).

CYK were successful in representing Mr Severilov to resist the WFO application, also believed to have been the largest of its kind sought in the Commercial Court. A 3-day hearing was held in October 2023 before Mr Justice Butcher, where CYK appeared together with 7 other parties.

Mr Justice Butcher was unequivocal in dismissing the WFO application as against Mr Severilov, finding that the Claimants had no genuine belief that there was a real risk of dissipation, and that there had been an unreasonable delay in bringing the WFO application. Critically, Mr Justice Butcher also acknowledged the strength of number of arguments advanced for Mr Severilov, noting that there “appear to be seriously arguable objections to the Claimants’ case as a whole”, and that there are serious issues as to the “coherence of the case of conspiracy advanced”, including as to whether the alleged conspiracy actually caused any loss. Mr Severilov was also later awarded his costs.

In December 2023, the Court of Appeal refused to provide the Claimants with permission to appeal, with Mr Justice Butcher having already refused to provide such permission in the first instance.

CYK’s successful team consisted of Lydia Danon (Partner), Jordan Waldock (Senior Associate), Julia Ogievetsky (Senior Associate) and Emily Davies (Associate), having instructed Nathan Pillow KC and David Peters of Essex Court Chambers.

CYK have previously acted (and continue to act) for Domidias Limited, together with Blair Leahy KC of 20 Essex St and Donald Lilly of 4 Stone Buildings, in relation to separate related Commercial Court proceedings brought by Hellicorp Investments Ltd and Sian Participation Corp (In Liquidation).