Today's planned flotation of the Russian state oil company Rosneft on the London Stock Exchange was given the go-ahead by the High Court yesterday despite allegations it would amount to "laundering" illegallyacquired assets.
Mr Justice Charles rejected a plea by oil company Yukos for permission to seek a judicial review of decisions by the Financial Services Authority (FSA) and the London Stock Exchange (LSE) the listing of Rosneft shares be sanctioned. The judge refused to grant an interim injunction blocking the flotation pending further court hearings.
Yukos claimed the flotation would amount to money laundering under the Proceeds of Crime Act because 70 per cent of the value of Rosneft's shares resulted from the unlawful seizure and sale of the assets of Yukos by the Rus-sian government.
The company contested legal advice given to the FSA and LSE Yukos's objections were "non-justiciable" - not open to legal challenge - in English courts, because courts had no power in the actions of a foreign state.