EPAM’s Litigation Practice in St. Petersburg successfully represented Global Metcorp, a UK steel brokerage firm, in bankruptcy case against Torex LLC, a former leading steel supplier.

The creditor’s meeting initially elected a bankruptcy manager favoured by a creditor with a majority vote, due to earlier unlawful actions by the interim manager.

For over two years, EPAM’s attorneys worked on developing and implementing a strategy to remove the bankruptcy manager, who obstructed the proceedings. They challenged the election of the bankruptcy manager (during the initial creditor’s meeting), and filed a cassation appeal that led to the Russian Supreme Court reopening the case. Moreover, throughout two rounds of proceedings, EPAM lawyers proved the bankruptcy manager was administratively liable. They also filed legal claims against the manager’s other unlawful actions.

EPAM lawyers working on the case has also proved that the bankruptcy manager and her spouse, the former interim manager of the debtor, caused significant financial damage to the bankruptcy estate. They not only unlawfully used funds to cover travel expenses, but also failed to regularly hold creditors’ meetings.

As a result, the client recovered millions in damages and the manager was removed from her position.

EPAM team working on the project included Senior Associate Alexander Svashenko, Associate Yulia Sevostyanova and was led by Counsel Evgeny Gurchenko, Head of the Litigation Practice in St. Petersburg.