GTLK Europe DAC and GTLK Europe Capital DAC, two Russian state-owned aircraft and shipping leasing firms, both registered in Ireland, have both been ordered to be wind up by the Irish High Court. The orders have resulted in the dismissal of an application for both companies to be placed into examinership. Combined, the two companies have a net worth of approximately US$4.5 billion.
Both companies had been hard hit by sanctions placed on Russia subsequent to the country’s invasion of Ukraine. The judge, Mr Justice Dignam, felt the application for examinership lacked the “good faith” required to allow a court to appoint an examiner to a company. The judge also noted that the companies had claimed in the examinership proceedings that they were insolvent, which contrasted to the strong denials they had made in opposition to the winding-up proceedings. A purported attempt last weekend by the companies, which was done without the knowledge of their Irish lawyers, to have their dispute with the petitioning creditors go before an arbitrator in the UK was also questionable. He said the companies had attempted “to derail and delay” the hearing of petition to have the firms wound up, which commenced before the Irish courts in April.
The court heard that the Kremlin-owned companies have an estimated deficit of more than US$1 billion. The four creditors, represented by barrister Kelley Smith SC, instructed by William Fry Solicitors, that sought to wind up the GTLK firms were Trinity Investments DAC and an associated entity, Allestor Europe Multi Asset Portfolio, which is a subfund of Allestor Capital ICAV. The other two creditors are Ben Oldman Special Situations Fund LP and Sona Credit Master Fund Limited, which are both registered in the Cayman Islands.
The creditors claimed they are owed US$178 million by the GTLK Europe group and that debt was rising. (£1.00 = US$1.24 at time of publication).
