Recovering Value in Russia and the CIS countries
To maximize recoveries for distressed Russian and CIS companies registered in the Caribbean, our on-the-ground professionals draw on their extensive experience and the expertise of a multi-disciplinary team of specialists located in multiple jurisdictions with proven skills in forensic accounting, investigations, asset tracing, computer forensics and litigation to conduct a comprehensive recovery process and advise on effective solutions with maximized returns.
Companies registered in the British Virgin Islands (BVI) and Cayman Islands are used extensively by individuals and corporations in Russia and the Commonwealth of Independent States (CIS) as special purpose vehicles or joint venture entities and are often embedded in complex group structures, acting as key holding companies for valuable assets or operating subsidiaries. In the vast majority of cases, assets, liabilities, key management personnel and services providers are located in Russia or the CIS, but also the UK, U.S., Cyprus, Latvia and Luxembourg.
This paper concentrates on how value can be recovered from such structures containing Caribbean registered companies, using an insolvency or enforcement process. In addition to the specific topics covered in this paper, FTI Consulting offers a wide range of other services in Russia and the CIS, details of which can be found in our related publication “Services in Relation to Russia and the CIS.”
Our experience shows that when issues arise involving Caribbean registered companies with underlying investments or ultimate ownership interests in Russia or CIS, there is typically a need to establish:
- the nature of the assets held;
- whether any dissipation has occurred or is likely to occur; and
- who ultimately owns and/or controls the structure.