Sergey Taruta v JSC VTB Bank: Receiverships, Sanctions And Service

On 25 January 2023, the Eastern Caribbean Court of Appeal handed down its long-awaited decision in Sergey Taruta v JSC VTB Bank (heard together with Arrowcrest Ltd v JSC VTB Bank and Anor), by which it issued important guidance on, among other things:

1. Principles relating to the appointment of equitable receivers in the territory; and
2. The impact of recent sanctions legislation on the court's powers and jurisdiction to manage, terminate or vary its receivership orders and related injunctive relief.

The order that was subject to appeal was a receivership order obtained by sanctioned Russian bank, JSC VTB ("VTB"), appointing receivers by way of equitable execution over assets indirectly owned by a prominent Ukrainian businessman and Member of Parliament, Sergey Taruta ("Mr. Taruta").