MOSCOW, 20 Jan – PRIME. The Moscow Arbitration Court dismissed Citibank’s claim, in which it, on behalf of the bondholders of Russian Standard Ltd (RSL), affiliated with Russian Standard Bank, asked to foreclose 49% of the bank’s shares. Trust Bank filed a billion-dollar lawsuit against businessman Mamut Kak the RIA Novosti correspondent reports from the court, the first instance completely refused to the London branch of Citibank in the requirements for the owners of the pledged block of 49% of shares – CJSC Russian Standard Company and LLC Russian Standard – Invest, shareholders of Russian Standard Bank Rustam Tariko. At the time the lawsuit was filed in September 2020, the issuer’s debt on bonds and accrued interest was estimated at $ 757.2 million. RSL issued bonds in the amount of $ 451 million in 2015 with a coupon rate of 13% per annum and maturing in 2022. The issuer defaulted on securities. Since 2015 Citibank has pledged shares of Russian Standard owned by the defendants – 39.88% of the bank’s shares owned by Russian Standard Company CJSC and 9.12% of shares owned by Russian Standard – Invest LLC “. The pledge secures the obligations of the RSL bond issuer to the owners of the securities. In parallel, the parties entered into a trust agreement, under which Citibank became a trust, a trustee of investors. The defendants did not acknowledge the claim. According to them, Citibank is an inappropriate plaintiff, since, according to Russian law, the rights of the creditor under the pledge agreement have not been transferred to it, and the agreement itself is invalid. In this case, the norms of English law referred to by the plaintiff are not applicable in this dispute. The plaintiff’s representative accused the defendants of abuse of rights. According to him, the pledge agreement has been valid for more than 5 years, and numerous buyers of RSL bonds were guided by it, together with the trust agreement.