Keep Us Strong WikiLeaks logo

Currently released so far... 97115 / 251,287

Articles

Browse latest releases

Browse by creation date

Browse by origin

A B C D F G H I J K L M N O P Q R S T U V W Y Z

Browse by tag

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
ETRD EAGR ETTC EAID ECON EFIN ECIN EINV ELAB EAIR ENRG EPET EWWT ECPS EIND EMIN ELTN EC ETMIN EUC EZ ET ELECTIONS ENVR EU EUN EG EINT ER ECONOMICS ES EMS ENIV EEB EN ECE ECOSOC EK ENVIRONMENT EFIS EI EWT ENGRD ECPSN EXIM EIAD ERIN ECPC EDEV ENGY ECTRD EPA ESTH ECCT EINVECON ENGR ERTD EUR EAP EWWC ELTD EL EXIMOPIC EXTERNAL ETRDEC ESCAP ECO EGAD ELNT ECONOMIC ENV ETRN EIAR EUMEM ENRGPARMOTRASENVKGHGPGOVECONTSPLEAID EREL ECOM ECONETRDEAGRJA ETCC ETRG ECONOMY EMED ETR ENERG EITC EFINOECD EURM EENG ERA EXPORT ENRD ECONEINVETRDEFINELABETRDKTDBPGOVOPIC EGEN EBRD EVIN ETRAD ECOWAS EFTA ECONETRDBESPAR EGOVSY EPIN EID ECONENRG EDRC ESENV ETT EB ENER ELTNSNAR ECHEVARRIA ETRC EPIT EDUC ESA EFI ENRGY ESCI EE EAIDXMXAXBXFFR EETC ECIP EIAID EIVN EBEXP ESTN EING EGOV ETRA EPETEIND ELAN ETRDGK EAIDRW ETRDEINVECINPGOVCS EPEC ENVI ELN EAG EPCS EPRT EPTED ETRB EUM EAIDS EFIC EFINECONEAIDUNGAGM EAIDAR ESF EIDN ELAM EDU EV EAIDAF ECN EDA EXBS EINTECPS ENRGTRGYETRDBEXPBTIOSZ EPREL EAC EINVEFIN ETA EAGER EINDIR ECA ECLAC ELAP EITI EUCOM ECONEFINETRDPGOVEAGRPTERKTFNKCRMEAID EARG ELDIN EINVKSCA ENNP EFINECONCS EFINTS ECCP ETC EAIRASECCASCID EINN ETRP EAIDNI EFQ ECOQKPKO EGPHUM EBUD ECONEINVEFINPGOVIZ ENERGY ELB EINDETRD EMI ECONEFIN EIB EURN ETRDEINVTINTCS EIN EFIM ETIO ELAINE EMN EATO EWTR EIPR EINVETC ETTD ETDR EIQ ECONCS EPPD ENRGIZ EISL ESPINOSA ELEC EAIG ESLCO EUREM ENTG ERD EINVECONSENVCSJA EEPET EUNCH ECINECONCS ETRO ETRDECONWTOCS ECUN EFND EPECO EAIRECONRP ERGR ETRDPGOV ECPN ENRGMO EPWR EET EAIS EAGRE EDUARDO EAGRRP EAIDPHUMPRELUG EICN ECONQH EVN EGHG ELBR EINF EAIDHO EENV ETEX ERNG ED
KMDR KPAO KPKO KJUS KCRM KGHG KFRD KWMN KDEM KTFN KHIV KGIC KIDE KSCA KNNP KHUM KIPR KSUM KISL KIRF KCOR KRCM KPAL KWBG KN KS KOMC KSEP KFLU KPWR KTIA KSEO KMPI KHLS KICC KSTH KMCA KVPR KPRM KE KU KZ KFLO KSAF KTIP KTEX KBCT KOCI KOLY KOR KAWC KACT KUNR KTDB KSTC KLIG KSKN KNN KCFE KCIP KGHA KHDP KPOW KUNC KDRL KV KPREL KCRS KPOL KRVC KRIM KGIT KWIR KT KIRC KOMO KRFD KUWAIT KG KFIN KSCI KTFIN KFTN KGOV KPRV KSAC KGIV KCRIM KPIR KSOC KBIO KW KGLB KMWN KPO KFSC KSEAO KSTCPL KSI KPRP KREC KFPC KUNH KCSA KMRS KNDP KR KICCPUR KPPAO KCSY KTBT KCIS KNEP KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG KNNB KGCC KINR KPOP KMFO KENV KNAR KVIR KDRG KDMR KFCE KNAO KDEN KGCN KICA KIMMITT KMCC KLFU KMSG KSEC KUM KCUL KMNP KSMT KCOM KOMCSG KSPR KPMI KRAD KIND KCRP KAUST KWAWC KTER KCHG KRDP KPAS KITA KTSC KPAOPREL KWGB KIRP KJUST KMIG KLAB KTFR KSEI KSTT KAPO KSTS KLSO KWNN KPOA KHSA KNPP KPAONZ KBTS KWWW KY KJRE KPAOKMDRKE KCRCM KSCS KWMNCI KESO KWUN KPLS KIIP KEDEM KPAOY KRIF KGICKS KREF KTRD KFRDSOCIRO KTAO KJU KWMNPHUMPRELKPAOZW KEN KO KNEI KEMR KKIV KEAI KWAC KRCIM KWCI KFIU KWIC KCORR KOMS KNNO KPAI KBWG KTTB KTBD KTIALG KILS KFEM KTDM KESS KNUC KPA KOMCCO KCEM KRCS KWBGSY KNPPIS KNNPMNUC KWN KERG KLTN KALM KCCP KSUMPHUM KREL KGH KLIP KTLA KAWK KWMM KVRP KVRC KAID KSLG KDEMK KX KIF KNPR KCFC KFTFN KTFM KPDD KCERS KMOC KDEMAF KMEPI KEMS KDRM KEPREL KBTR KEDU KNP KIRL KNNR KMPT KISLPINR KTPN KA KJUSTH KPIN KDEV KTDD KAKA KFRP KWNM KTSD KINL KJUSKUNR KWWMN KECF KWBC KPRO KVBL KOM KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG KEDM KFLD KLPM KRGY KNNF KICR KIFR KM KWMNCS KAWS KLAP KPAK KDDG KCGC KID KNSD KMPF KPFO KDP KCMR KRMS KNPT KNNNP KTIAPARM KDTB KNUP KPGOV KNAP KNNC KUK KSRE KREISLER KIVP KQ KTIAEUN KPALAOIS KRM KISLAO KWM KFLOA
PHUM PINR PTER PGOV PREL PREF PL PM PHSA PE PARM PINS PK PUNE PO PALESTINIAN PU PBTS PROP PTBS POL POLI PA PGOVZI POLMIL POLITICAL PARTIES POLM PD POLITICS POLICY PAS PMIL PINT PNAT PV PKO PPOL PERSONS PING PBIO PH PETR PARMS PRES PCON PETERS PRELBR PT PLAB PP PAK PDEM PKPA PSOCI PF PLO PTERM PJUS PSOE PELOSI PROPERTY PGOVPREL PARP PRL PNIR PHUMKPAL PG PREZ PGIC PBOV PAO PKK PROV PHSAK PHUMPREL PROTECTION PGOVBL PSI PRELPK PGOVENRG PUM PRELKPKO PATTY PSOC PRIVATIZATION PRELSP PGOVEAIDUKNOSWGMHUCANLLHFRSPITNZ PMIG PREC PAIGH PROG PSHA PARK PETER POG PHUS PPREL PS PTERPREL PRELPGOV POV PKPO PGOVECON POUS PGOVPRELPHUMPREFSMIGELABEAIDKCRMKWMN PWBG PMAR PREM PAR PNR PRELPGOVEAIDECONEINVBEXPSCULOIIPBTIO PARMIR PGOVGM PHUH PARTM PN PRE PTE PY POLUN PPEL PDOV PGOVSOCI PIRF PGOVPM PBST PRELEVU PGOR PBTSRU PRM PRELKPAOIZ PGVO PERL PGOC PAGR PMIN PHUMR PVIP PPD PGV PRAM PINL PKPAL PTERE PGOF PINO PHAS PODC PRHUM PHUMA PREO PPA PEPFAR PGO PRGOV PAC PRESL PORG PKFK PEPR PRELP PREFA PNG PGOVPHUMKPAO PRELECON PINOCHET PFOR PGOVLO PHUMBA PRELC PREK PHUME PHJM POLINT PGOVPZ PGOVKCRM PGOVE PHALANAGE PARTY PECON PEACE PROCESS PLN PRELSW PAHO PEDRO PRELA PASS PPAO PGPV PNUM PCUL PGGV PSA PGOVSMIGKCRMKWMNPHUMCVISKFRDCA PGIV PRFE POGOV PEL PBT PAMQ PINF PSEPC POSTS PHUMPGOV PVOV PHSAPREL PROLIFERATION PENA PRELTBIOBA PIN PRELL PGOVPTER PHAM PHYTRP PTEL PTERPGOV PHARM PROTESTS PRELAF PKBL PRELKPAO PKNP PARMP PHUML PFOV PERM PUOS PRELGOV PHUMPTER PARAGRAPH PERURENA PBTSEWWT PCI PETROL PINSO PINSCE PQL PEREZ PBS

Browse by classification

Community resources

courage is contagious

Viewing cable 09BUCHAREST397, ROMANIA: 2009 REPORT ON INVESTMENT DISPUTES AND

If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs

Understanding cables
Every cable message consists of three parts:
  • The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
  • The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
  • The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.
To understand the justification used for the classification of each cable, please use this WikiSource article as reference.

Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #09BUCHAREST397.
Reference ID Created Released Classification Origin
09BUCHAREST397 2009-06-15 09:17 2011-08-25 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Embassy Bucharest
VZCZCXRO8616
PP RUEHAG RUEHAST RUEHDA RUEHDBU RUEHDF RUEHFL RUEHIK RUEHKW RUEHLA
RUEHLN RUEHLZ RUEHNP RUEHPOD RUEHROV RUEHSK RUEHSR RUEHVK RUEHYG
DE RUEHBM #0397/01 1660917
ZNR UUUUU ZZH
P 150917Z JUN 09
FM AMEMBASSY BUCHAREST
TO RUEHC/SECSTATE WASHDC PRIORITY 9599
INFO RUEHZL/EUROPEAN POLITICAL COLLECTIVE PRIORITY
RUCPDOC/DEPT OF COMMERCE WASHINGTON DC PRIORITY
UNCLAS SECTION 01 OF 03 BUCHAREST 000397 
 
SENSITIVE 
 
DEPT FOR EUR/CE ASCHIEBE, EEB/IFD/OIA HGOETHERT AND KBUTLER, AND 
L/CID DMORRIS AND PPEARSALL 
STATE PLEASE PASS TO USTR 
 
SIPDIS 
 
E.O. 12958: N/A 
TAGS: EINV CASC KIDE OPIC PGOV RO
SUBJECT: ROMANIA: 2009 REPORT ON INVESTMENT DISPUTES AND 
EXPROPRIATION CLAIMS 
 
REF: STATE 49477 
 
1.  (U) Summary:  The United States Government is aware of eight (8) 
outstanding investment disputes and expropriation claims brought by 
United States persons or corporations that may be pending against 
the Government of Romania (GOR).  There are no new cases since last 
year's report.  Post recommends dropping one case (Claimant G in the 
2008 report) because the claimant actually has received title to the 
property.  At the time of last contact the claimant was trying to 
correct errors in the property title, but because claimant was 
granted the title it no longer qualifies as an expropriation case. 
Post has removed this claimant from the current report.  Claims 
previously reported that are subject to the 1960 claims settlement 
agreement between the U.S. and Romania are no longer included in 
this report.  Names/titles of claimants are listed in paragraph 10. 
End Summary. 
 
2. (U) a. Claimant designation:  Claimant A 
b. Year dispute arose:  1990 
c. Case history: In the 1970s, Claimant A entered into a reinsurance 
agreement with the Romanian state-owned insurance company ADAS.  In 
1990, the Romanian Government dissolved ADAS and created two new 
companies, ASTRA and ASIROM.  ASIROM was privatized.  ASTRA remained 
a state-owned company and denied any liability regarding Claimant 
A's contract with ADAS.  An arbitration panel awarded Claimant A USD 
650,000 in 1993.  ASTRA refused to recognize the legitimacy of the 
arbitration panel and to make any payments. 
 
Claimant A sued to enforce the award in an Ohio District Court.  In 
1999, the District Court ruled that after ADAS was dissolved, its 
obligations were assumed by ASTRA.  The district court awarded 
Claimant A over USD 922,000, which included the original arbitration 
award plus interest and legal costs.  The amount owed to Claimant A 
continues to increase to include additional interest and legal costs 
associated with enforcing the arbitration award.  Claimant A 
recovered USD $39,000 in 1999 and USD $185,000 in 2000 by garnishing 
funds held for ADAS/ASTRA in the United Kingdom. 
 
In September 2002, the Ohio District Court ruled that the Government 
of Romania was the alter-ego of ASTRA/ADAS and that the 1999 
judgment against ASTRA/ADAS could be executed against the GOR. 
Following this decision, Claimant A sued Banca Comerciala Romana 
(BCR), Romania's state-owned bank and the only Romanian state-owned 
entity with assets in the United States, in the U.S. District Court 
for the Southern District of New York in March 2004, claiming that 
BCR is the alter-ego of the GOR and must pay Claimant A its 
remaining damages.  In preparation for privatization on December 
2005, BCR transferred the file to the Romanian Authority for State 
Assets Recovery (AVAS) to administer the asset recovery dispute. 
The claim is still outstanding.  Embassy's last contact with 
Claimant A was in 2007. 
 
3. (U) a. Claimant designation:  Claimant B 
b. Year dispute arose:  1981 
c. Case history:  In 1981, Claimant B signed a purchase agreement 
with state-owned firm Masinexportimport, using irrevocable letters 
of credit.  Claimant B rejected the goods, alleging that they did 
not meet the quality standards specified in the purchase agreement. 
Claimant B sued Masinexportimport in U.S. Federal District Court in 
1982.  In 1991, the District Court determined that Masinexportimport 
was an instrumentality of the Romanian Government and it owed 
Claimant B USD $1.5 million in damages.  Because neither 
Masinexportimport nor the GOR paid the claim, the Claimant took the 
case to the International Court of Arbitration.  No decision has 
been rendered.  Masinexportimport claims that Claimant B lost the 
right to execute the claim after three years, and therefore no 
longer has a legal basis for its claim under Romanian law. 
 
4. (U) a. Claimant designation:  Claimant C 
b. Year dispute arose:  2001 
c. Case history: Before the 1989 Romanian Revolution, Constanta Oil 
Terminal was owned by the GOR.  By government decision in 1990, the 
oil terminal was privatized as a commercial company and listed on 
the Bucharest Stock Exchange.  Claimant C purchased 11.66 percent of 
the shares in the Oil Terminal.  In 2001, the GOR transferred 
certain pipeline assets owned by the Oil Terminal to state 
ownership.  The owners were not compensated for this transfer.  The 
expropriated pipeline assets were valued at more than USD 20 million 
and constituted approximately 80 percent of the company's capacity 
for transporting oil.  After the expropriation, the Oil Terminal was 
forced to enter into a concessionary agreement with the GOR to use 
the pipeline assets that the Claimant had previously owned.  The 
Bucharest Stock Exchange suspended trading of the shares in the Oil 
Terminal, and the stock lost 50 percent of its value. 
 
 
BUCHAREST 00000397  002 OF 003 
 
 
In 2003, the Claimant submitted an application to the European Court 
of Human Rights (ECHR) against GOR based on the pipeline asset 
expropriation and the Claimant's failure to obtain compensation 
through action in Romanian courts.  The ECHR accepted Claimant C's 
case in 2007 and requested that the GOR draft an official position 
paper, with the aim of reaching an amicable solution.  At last 
report the submission of the GOR's position paper was still pending, 
but this cannot be confirmed as the Claimant has not been in contact 
with the Embassy regarding the dispute for the last two years. 
 
5. (U) a. Claimant designation:  Claimant D 
b. Year dispute arose:  2000 
c. Case history:  Claimant D purchased a Romanian company in a 
debt-for-equity swap and received government assurances that its 
overpayment would be applied to future taxes.  Elections in 2000 
resulted in a change of government, and, according to the investor, 
the new government refused to honor its predecessor's commitments. 
The company filed for bankruptcy in 2004.  As of June 2009, the 
judicial liquidator has organized 40 auctions for sale of assets. 
According to the liquidator, Claimant D consists of a company and 
individual creditor.  Both have received partial compensation from 
these actions (the former approximately USD $1.3 million and the 
latter USD $1.01 million).  Both are still owed the following 
amounts: approximately USD $19 million and USD $7.497 million, 
respectively.  Further public auctions are planned.  The Claimant 
has not been in contact with the Embassy regarding the dispute. 
 
6. (U) a. Claimant designation:  Claimant E 
b. Year dispute arose:  2003 
c. Case history:  In November 2003 Claimant E acquired a majority 
stake in a Romanian company that produced explosives and fertilizer. 
 The privatization contract governing the acquisition included as a 
precondition the fulfillment of the debt-for-equity swap of 
company's arrears to energy companies.  The GOR claims to have 
received the Claimant's written waiver of the precondition.  Because 
of overdue debts, the Romanian company was put under judicial 
reorganization under Romanian insolvency law. 
 
In 2005, the GOR terminated the privatization contract and seized 
the Claimant's shares, contending that the Claimant was in breach of 
contract.  The Claimant filed for international arbitration with the 
ICSID on July 16, 2007.  The tribunal was constituted in November 
2007 and held a first session in December 2007.  According to ICSID 
public reports, the tribunal was reconstituted on April 28, 2009 and 
remains pending.  The Embassy's last direct contact with the 
Claimant was in 2007. 
 
7. (U) a. Claimant designation:  Claimant F 
b. Year dispute arose:  2004 
c. Case history:  In 2004 Claimant F acquired through a 
privatization contract an off-road vehicle manufacturing company. 
The GOR moved to release the company from past budgetary arrears as 
agreed in the privatization contract.  Because of unsettled 
non-budgetary arrears to state-owned energy companies, the company 
was put under judicial reorganization under Romanian insolvency law. 
 Having failed to get an amicable resolution of the issues, the 
Claimant announced its intent to file for international arbitration 
with ICSID, but has not yet done so.  In the meantime, AVAS has 
tendered and sold assets of the plant to local companies.  The 
Embassy's last contact with the Claimant was in 2007. 
 
8. (U) a. Claimant designation:  Claimant G 
b. Year dispute arose:  2001 
c. Case history:  Claimant G filed for compensation in 2001 for two 
properties located in Bucharest.  The properties had been taken from 
her family in 1970 and the structures were demolished.  The Claimant 
is the adoptive daughter and sole legal heir of the properties' 
original owner.  The Claimant's claim was forwarded in 2002 to the 
Bucharest City Hall.  In 2004, Bucharest City Hall issued a 
notification that the Claimant had not adequately proven she was the 
original owner's legal heir.  The Claimant appealed this decision, 
as well as a subsequent denial notification, to the High Court of 
Cassation and Justice in the same year.  The Court ordered the City 
to recognize the claim and pay compensation.  No such compensation 
has been paid as of June 2008.  The case is still pending. 
 
The Claimant's attorney alleges that she was asked to pay a bribe in 
order to obtain a decision favorable to the Claimant.  The Claimant 
called the Romanian Embassy in Washington, D.C. and was advised not 
to pay the bribe.  After declining to pay the alleged bribe, the 
Claimant received a denial letter from the Mayor's office based on 
"lack of evidence of legal inheritance."  The Claimant filed a 
complaint with the National Anticorruption Department (DNA) and 
appealed the decision to the Supreme Court.  The Supreme Court 
repealed the decision of the City Hall and ordered that City Hall 
 
BUCHAREST 00000397  003 OF 003 
 
 
re-examine the claim.  The Embassy's last contact with the Claimant 
was in August 2008. 
 
9. (U) a. Claimant designation:  Claimant H 
b. Year dispute arose:  1973 
c. Case history:  Claimant H filed a notification with the Timisoara 
City Hall in November 2001, requesting restitution of a house and 
land in Timisoara (total of 900 sqm) taken by the state in 1963.  In 
June 2006, the Timisoara City Hall issued a decree ("Disposition") 
number 1690, stating that the Claimant is entitled to compensation 
as the property could not be returned "in integrum."  The property 
in question belonged to an owner who acquired it by property 
exchange in 1973, when the state nationalized her property in order 
to expand the local radio station and moved her into the property 
formerly owned by the Claimant's family.  The current owner also had 
to pay the state a certain amount of money in addition to turning 
over the nationalized property.  The Timisoara City Council 
recommended compensation up to Euro 400,000, the amount indicated by 
the Claimant.  The City offered the Claimant compensation in the 
form of shares of the State Property Fund, but the claimant wanted 
restitution in the form of another property of equal value.  The 
Claimant sued the Timisoara City Council, lost the case in the lower 
court, and filed an appeal in April 2008.  The Embassy's last 
contact with the claimant was in August 2008. 
 
10. (SBU) Claimant A:  General Star National Insurance Company 
Claimant B:  S&S Machinery Corporation 
Claimant C:  Broadhurst Investments, Ltd (New Century Holdings) 
Claimant D:  Wisconsin Turning Systems represented by creditors- 
PALCROM LLC U.S. and Patrick Cherone 
Claimant E:  S&T Oil Equipment and Machinery Ltd. 
Claimant F:  Cross Lander 
Claimant G:  Maria Grigorescu 
Claimant H:  Andrew Scheer 
 
GUTHRIE-CORN