FTI Consulting in the Caribbean Recovering Value in Russia and the CIS Countries
Companies registered in the British Virgin Islands (BVI) and Cayman Islands are used extensively by individuals and corporations in Russia and the Commonwealth of Independent States (CIS) as special purpose vehicles or joint venture entities and are often embedded in complex group structures, acting as key holding companies for valuable assets or operating subsidiaries. In the vast majority of cases, assets, liabilities, key management personnel and services providers are located in Russia or the CIS, but also the UK, U.S., Cyprus, Latvia and Luxembourg.
This paper concentrates on how value can be recovered from such structures containing Caribbean registered companies, using an insolvency or enforcement process. In addition to the specific topics covered in this paper, FTI Consulting offers a wide range of other services in Russia and the CIS, details of which can be found in our related publication “Services in Relation to Russia and the CIS.”
Our experience shows that when issues arise involving Caribbean registered companies with underlying investments or ultimate ownership interests in Russia or CIS, there is typically a need to establish:
- the nature of the assets held;
- whether any dissipation has occurred or is likely to occur; and
- who ultimately owns and/or controls the structure.
Obtaining clarity about such matters as soon as possible is crucial in the overall approach to realising value.
FTI Consulting has full service offices in the BVI and Cayman Islands, which are well-connected to our full network of offices around the world. As such, when assisting stakeholders with the enforcement of debt or security, or when resolving other complex disputes, our network can often be used to gain vital information about the Russian or CIS entities.