ABH Holdings S.A. (ABHH) believes that the new criminal charges against one of the ABHH minority shareholders announced yesterday are yet another step of political campaign by the Ukrainian authorities to coverup the illegal expropriation of Sense Bank, the asset properly belonging to ABHH.

As we have consistently emphasised, the Bank became the target of a raiding effort apparently endorsed at the top echelons of the Ukrainian governmental hierarchy. Several conflicting and implausible explanations have been offered for the expropriation.

The latest charges against the minority shareholder are a mishmash of irrelevant political allegations which ABHH would not dignify by commenting.

The escalation of the political pressure of the Ukrainian authorities on ABHH, a reputable and responsible international investor, is easily explained. The aggravation of the dispute was triggered by ABHH intention to initiate international investment arbitration proceedings against Ukraine communicated to the authorities in June 2023. At the same time, ABHH has offered, in good faith and in full expectation of success, to conduct negotiations to settle the dispute amicably.

Instead of accepting the offer, the Ukrainian government placed ABHH on the national sanctions list.

In July 2023, ABHH offered to negotiate an amicable settlement of the dispute again.

Ukraine’s answer to that was to expropriate the bank and initiate a series of criminal cases against ABHH’s minority shareholder.

Thus, instead of fulfilling its obligations under the bilateral investment protection treaty, Ukraine has opted for aggravating the dispute, and has done so repeatedly.