A high-stakes legal battle ensues between Russia’s wealthiest individual, Vladimir Potanin, and his ex-wife over a multibillion-dollar share of his mining assets, marking one of the world’s largest divorces.
In a split decision, the UK’s Supreme Court ruled in favor of the sanctioned billionaire, though further court proceedings are necessary. The ruling may lead to increased scrutiny of claimants who have divorced overseas.
London’s divorce courts have seen many high-value disputes, with judges often inclined to order a more equitable distribution of assets. The largest publicly known divorce settlement in the UK stands at £450 million ($571 million) to the wife of billionaire Farkhad Akhmedov, though they settled for less.
In a 3-2 decision, the judges noted procedural unfairness in the appeal court’s consideration of whether to allow the claim to continue. Judge George Leggatt emphasized the need for a fresh assessment after hearing arguments from both sides.
Both parties welcomed the ruling. Potanin’s legal team highlighted the necessity for English courts to scrutinize claims from individuals divorcing overseas more rigorously.
Potanin, primarily deriving his fortune of around $31.8 billion from MMC Norilsk Nickel PJSC, faces a claim from his ex-wife for 50% of his Nornickel stake alongside dividends, potentially exceeding $5 billion.
The case has witnessed various twists, including lower court rulings accusing Potanina of “divorce tourism” before she won an appeal. Despite residing in Russia throughout their 31-year marriage, Potanina acquired a residence in Westminster in 2014.
Potanin’s expansion into finance and acquisitions in Russian banks came amidst restrictions on foreign ownership of Russian assets following the Kremlin’s actions in Ukraine. While Nornickel has avoided Western sanctions, the Ukraine conflict has disrupted its logistics and shipping operations.