This section covers the origin of the monetary assets and an overview of their transfer and location prior to 2016.
In November 2012, Farkhad received US$1.375 billion from the sale of his shares in ZAO Northgas.1
In 2013, US$1.26 billion was transferred from Farkhad’s private account to Cotor Investment SA, a company registered in Panama.2
Cotor held the assets in a portfolio of cash and securities with UBS in Switzerland. The net balance on Cotor’s UBS accounts was US$1.055 billion as of 23 July 2015 and US$890 million as of 30 November 2015 but had reduced (according to Mr Kerman, as a result of poor investment performance) to about US$650 million by the time of the transfers in December 2016.3
In the 15 December 2016 Judgment, Mr Justice Haddon-Cave found:
- the entirety of Farkhad’s wealth, including the sum realised from the sale of Farkhad’s Northgas shares, was acquired and built up during the long marriage by Farkhad and Tatiana’s equal contributions to the welfare of the family, and should be subject to the sharing principle4
- there was no evidence of any consideration being paid by Cotor, and held that Cotor was Farkhad’s nominee company and these assets were held on bare trust for Farkhad5