Vasil Kisil & Partners and SVG Plus Win a Case Concerning Protracted Customs Clearance of Liquefied Gas
Vasil Kisil & Partners’ lawyers have successfully represented SVG Plus in court in the case concerning compensation for damages caused by protracted customs clearance of liquefied gas and oil products.
In late 2016, the Energy Customs Office of the State Fiscal Service, in pursuance of instructions of the Security Service of Ukraine, suspended the customs clearance of goods to take their samples. Subsequently, Ukrzaliznytsia (Ukrainian Railway) banned the operation of liquefied gas-filled rail cars, in respect of which an investigation was launched by the Security Service of Ukraine. The Ministry of Economy imposed special sanctions on companies importing liquefied gas, banning their foreign economic activities. The Energy Customs Office continued the suspension of the customs clearance of gas.
In 2017, SVG Plus filed a lawsuit for damages, seeking the recovery from the state budget of UAH 4.5 million in damages caused by the Customs Office due to the protracted customs clearance of liquefied gas, diesel fuel and petrol imported into Ukraine.
The case has been litigated in commercial courts for nearly four years. The Supreme Court twice remanded the case for a new trial. Eventually, on 31 March 2021, the Supreme Court upheld the findings of the first instance and appellate courts stating that the detention of goods by the Energy Customs Office was illegal and that there existed grounds for recovering damages of nearly UAH 4.5 million from the State Budget of Ukraine for the benefit of the company.
In addition to recovering the damages, Vasil Kisil & Partners’ lawyers also succeeded in that SVG Plus legal costs were partially awarded in the latter’s favor and the amount of UAH 440,000 was recovered from the Customs Office.
SVG Plus is a company engaged in wholesale trade in petroleum products and offering its customers high-quality liquefied gas, diesel fuel and petrol that meet EU standards and regulations.