Sanctioned Russian billionaire Guryev defeats London lawsuit over Phosagro stake

LONDON (Reuters) - Sanctioned Russian billionaire Andrey Guryev on Thursday defeated a lawsuit brought by a former friend seeking a significant stake in one of the world's biggest fertiliser producers.

Guryev, who stood down as CEO of Phosagro in 2022 after being sanctioned by the United States and Britain as an associate of President Vladimir Putin following Russia's invasion of Ukraine, was sued by Alexander Gorbachev at London's High Court.

Gorbachev claimed he was entitled to a 24.75% interest in Guryev's shares in Phosagro, which would currently be worth around $1 billion.

He relied on what he says were oral agreements between the pair, including during a conversation outside a London pub in the mid-2000s, which Guryev allegedly reneged on.

Guryev, however, characterised the lawsuit as a "shakedown" and said Gorbachev cashed out any interest he had in the business nearly two decades ago.

Judge Mark Pelling dismissed Gorbachev's case, saying in a written ruling that "there are simply too many unexplained and unexplainable inconsistencies and inherent implausibilities about what the claimant has alleged over time".

Gorbachev said in a statement: "This is an extremely disappointing decision. Clearly, I will review it and consider my options."

Guryev's spokesperson did not immediately comment.

Imposing sanctions on Guryev in 2022, Britain referred to him as a "close associate" of Putin. The U.S. included him in a round of sanctions the same year that targeted "Kremlin-connected elites".

The BBC has previously reported that a spokesperson for Guryev said there was no "proper or legitimate basis" for the sanctions.

The lawsuit brought by Gorbachev largely focused on competing recollections of conversations about Phosagro held nearly two decades earlier, at London pubs, hotels, restaurants and a sauna.

Gorbachev claimed that Guryev had promised to hold an interest in Phosagro on his behalf, after Gorbachev was forced to flee Russia in 2003 and claim asylum in Britain.



But Guryev – who, with his family, is worth $9.3 billion according to Forbes magazine – said the lawsuit was simply Gorbachev's latest attempt to claim an interest in Phosagro.

The judge said in his ruling that it was "inherently improbable" that Guryev had promised to hold an interest on Gorbachev's behalf.

Source: Investing.com