Putin’s envoy pointed out the possible decline of income of Russians from-for Yukos

Payment from the budget of Russia to the former shareholders of YUKOS oil company will hit the incomes of Russians, warned the Plenipotentiary of the President in the constitutional court (CC) Mikhail Krotov. The negative impact of the payoff, he said during the meeting, the constitutional court, which considered the request of the Ministry of justice about the decisions of the European court of human rights (ECHR) ordered Russia to pay the former owners of Yukos €1.87 billion

“Given that the compensation awarded by the applicant, shall be recovered from the Federal budget, they perceive a violation of the provisions of the Constitution of the social state. Unjustified increase of the amount of compensation which is awarded to the ECHR, in particular, with the growth of inflation will clearly affect the financial burden imposed on Russian taxpayers. And, as a consequence, the level of their total income,” said moles, calling referred to the ECHR decision the amount is “unprecedented” (quoted by TASS).

The presidential envoy also said that Russia does not have to pay compensation to former shareholders of the company, which was engaged in fraudulent activities.

In turn, the Commissioner of Russia to the European court of human rights, Deputy Minister of justice Georgy Matyushkin called the execution of the decision impossible.

“The Ministry of justice reaffirms its position on the impossibility of execution of ECtHR judgments, as it lays on the Russian Federation’s obligations under the Convention on the protection of human rights and fundamental freedoms in their interpretation, contrary to the Constitution,” Matyushkin said (quoted by TASS).

The decision, according to which Russia must pay the former shareholders of Yukos compensation of €1.87 billion, was accepted by the ECHR on July 31, 2014. The ECHR then found that Russia violated the right to the protection of property and the amount of tax claims to Yukos for 2000-2001 was calculated violations.

In December 2015, the President of Russia Vladimir Putin signed a law giving the Constitutional court the right to approve non-execution of ECHR judgments in cases where they conflict with the provisions of the Constitution.