The state’s ownership of the Ukrainian portion of the Samara-Western Direction oil product pipeline, also referred to as the Medvedchuk’s Pipeline (Viktor Medvedchuk is a pro-Russian oligarch and former Ukrainian MP who has Putin as his godfather – ed.), has finally been acknowledged by the Supreme Court of Ukraine.
Details: Constructed during the Soviet era, the pipeline was intended to become state property following Ukraine’s declaration of independence.
Nevertheless, Transnefteprodukt, a Russian company, used it for many years despite this not happening.
Since 2011, the State Property Fund of Ukraine (SPFU) has attempted to reclaim state ownership of this asset. The Specialized Anti-Corruption Prosecutor’s Office and the National Anti-Corruption Bureau began looking into the circumstances surrounding the pipeline’s ownership transfer in 2017.
The asset was seized by the Ukrainian High Anti-Corruption Court after the investigation, and in 2021 it was given to Ukrtransnafta’s management.
Furthermore, in 2021, the SPFU brought legal action before the Zhytomyr Oblast Commercial Court, requesting that the state acknowledge its ownership of the pipeline. “The court decided to side with the Fund in June 2023. Furthermore, the cassation appeal was not upheld by the Supreme Court yesterday. Therefore, Koval continued, “Ukraine has defended its right to this property.”
The pipeline is currently being registered in the state’s ownership.
Reminder: In the 2011-long legal battle to return Medvedchuk’s pipeline to state ownership, the court rendered a decision that mostly addressed the State Property Fund’s plaintiff claims, though not entirely.
Key Points
- The Samara-Western Direction oil pipeline, also known as Medvedchuk’s Pipeline, was intended to become state property after Ukraine’s independence.
- Russian company Transnefteprodukt used the pipeline for years, despite its intended state ownership.
- The State Property Fund of Ukraine (SPFU) has been attempting to reclaim state ownership since 2011.
- The pipeline was seized by the Ukrainian High Anti-Corruption Court in 2021 and given to Ukrtransnafta’s management.
- In 2021, the SPFU brought legal action to the Zhytomyr Oblast Commercial Court, requesting state recognition of the pipeline.
- The Supreme Court sided with the SPFU in June 2023, and the pipeline is currently registered in the state’s ownership.
