NIIK lost the lawsuit on bank guarantees
The bankrupt Research Institute of Urea and Organic Synthesis Products (hereinafter NIIK, Nizhny Novgorod region) lost a case with Sberbank on bank guarantees.
NIIK asked to oblige Sberbank not to pay the guarantee of 745 million rubles (almost $12 million) to Metafrax Chemicals, for which NIIK didn’t manage to complete the Ammonia-Carbamide-Melamine complex worth 16.2 billion rubles (over $257 million). The court decided that the former contractor, challenging the relationship between the customer and the guarantor bank, chose an improper way to protect its rights.
It turned out that in October Sberbank had already transferred to Metafrax Chemicals the amount of security for broken obligations. Thus, having paid 745 million rubles (almost $12 million) for problems with the launch of the new complex, Sberbank acquired the right to demand this compensation from NIIK, as the culprit of the unfinished project.