Last updated on April 17, 2014 at 1:21 EDT

The Centre For Social Assistance and Contribution Files Complaint Against President of Kazakhstan and Government Officials

July 3, 2012

Alleged Corruption Stems from Expropriation of Over One Billion Dollars Worth of Oil and Gas Licenses

NEW YORK, July 3, 2012 /PRNewswire-USNewswire/ — The Centre for Social Assistance and Contribution, an organization representing former workers at the Tolkyn and Borankol oil fields in Western Kazakhstan, has filed a complaint with the District Court in Kazakhstan alleging corruption by the President of Kazakhstan and other high-ranking government officials. The complaint comes on the heels of recent clashes between the government and striking workers at oil fields in the Mangistau region of Kazakhstan that left at least 10 workers dead after police opened fire on the crowd.

The organization, which has retained the New York workers’ rights firm O’Dwyer and Bernstien, claims that the current Kazakh Minister of Oil and Gas, Sauat Mynbayev, and the former head of the state-owned oil company, and son in law of the President, Timur Kulibayev, attempted to orchestrate a forced sale of over a billion dollars worth of oil and gas licenses that would have netted the officials hundreds of millions of dollars in personal payoffs. The owner of the licenses, Ascom S.A., protested the forced deal after receiving significantly higher bids during a private offering led by Renaissance Capital, a leading investment bank based in Moscow. The officials, the complaint then alleges, responded by terminating the licenses and unilaterally transferring the rights to the state-owned oil company, illegally terminating all of its Moldovan workers in the process.

The two projects, largely funded by bond offerings to US and International investors, are at the center of a dispute between Ascom and the Kazakh government that is currently before the Stockholm Court of Arbitration. The Court is scheduled to hear the case starting July 23, 2012.

About The Centre for Social Assistance and Contribution

The Centre for Social Assistance and Contribution is a nonprofit organization dedicated to the protection of civil, economic, social and other rights and freedoms of Moldovan citizens who work in the Commonwealth of Independent States and other foreign countries.

SOURCE The Centre for Social Assistance and Contribution

Source: PR Newswire