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Saturday, February 17, 2018

Alfa-Bank to resume legal action against UTair for payments

Alfa-Bank said Tuesday that it plans to renew legal action against Russian airline UTair in an effort to reclaim leased aircraft after payments were not made.

The bank issued a short-term hiatus on collection and legal activities during the holidays, so that the seizing of aircraft would not disrupt travel. 

The Arbitration Court of Moscow said the airline owes Alfa-Bank $55 million. The bank had filed several lawsuits claiming that payments on credit and leasing lines were not being made.

Bank representatives said they are open to dialogue to remedy the situation, but if no payments are made in accordance with the arbitration decision, it will pursue continued legal action.

The airline is the country's third-largest. Deputy Prime Minister Arkady Dvorkovich said the government can provide state loans and domestic subsidies.

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Alfa Bank - Russia

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