By KYIV. Nov 22 (Interfax-Ukraine) – The international investment group Solway Investment Group, which owns Pobuzhsky Ferronickel Plant LLC (PFP, Kirovohrad region), denies ties with Russian government officials and is not under U.S. sanctions.
"In response to the recent statement by the US Department of the Treasury’s Office of Foreign Assets Control (OFAC) on sanctions targeting alleged Russian involvement in Guatemala’s mining sector, Solway Investment Group would like to declare the following: Solway Investment Group ("Solway"), a Swiss family-owned company, and all of its subsidiaries, employees, officers and directors take this matter very seriously and believe in strict compliance with all government laws in the conduct of our businesses," the Group said in a statement.
At the same time, it is stated that Solway is fully cooperating with the US government through our U.S. law firm Seiden Law Group LLP. It is actively investigating the facts and circumstances that gave rise to the alleged conduct by two now-suspended employees related to their sanctions.
And it is noted that that Solway is not sanctioned and plans to have a transparent and amicable resolution to this matter as soon as legally possible.
"We further note that the sanctioned entity Mayaniquel is not and has never been a part of Solway Investment Group. Solway’s subsidiaries Compania Guatemalteca de Niquel SA (CGN), Compania Procesadora de Niquel de Isabal SA (Pronico), are not and have never been controlled by the individuals mentioned as sanctioned. These entities and Solway are not owned, associated or affiliated with Russian state government figures. Both sanctioned individuals Dmitry Kudryakov and Iryna Litviniuk had held management positions in the subsidiaries for many years; both have been immediately suspended from their positions pending the results of the investigation by outside legal counsel," the group said.
In addition, it is emphasized that Solway Investment Group is not a subject of the recent decision by the US Department of the Treasury’s Office of Foreign Assets Control (OFAC) on sanctions targeting Russian involvement in Guatemala’s mining sector and does not fall under sanctions.
"We reiterate that Solway is not a Russian company and does not have any business relations with Russia. As early as 3 March 2022, Solway clearly stated its position against the war in Ukraine," the statement concluded.
Earlier, the media reported that the U.S. Treasury imposed sanctions against Russian citizen Dmitry Kudryakov, Belarusian citizen Iryna Litviniuk and three companies because of their connection with corruption schemes in Guatemala. At the same time, Compania Guatemalteca de Niquel (CGN), Compania Procesadora de Niquel (ProNiCo) and Mayaniquel were cited, allegedly being subsidiaries of the Solway Investment Group.
"The leader of Solway’s mining operations in Guatemala, Russian national Dmitry Kudryakov (Kudryakov), along with Belarusian national Iryna Litviniuk (Litviniuk), allegedly led multiple bribery schemes over several years involving politicians, judges, and government officials. In addition, Litviniuk conducted corrupt acts in furtherance of Russian influence peddling schemes by unlawfully giving cash payments to public officials in exchange for support for Russian mining interests," the U.S. Department said in a statement.
The sanctions provide for the blocking of the assets of these persons in the United States and the prohibition of transactions with their participation or in their interests.
Pobuzhsky Ferronickel Plant is the only enterprise in Ukraine that produces ferronickel on an industrial scale.
In 2003, after a long downtime, the international company Solway Investment Group acquired the assets of the plant and restarted it a year later. The main raw material base for the production of ferronickel is imported ore.
Currently, PFP is fully integrated into the production process of Solway Investment Group. The total investment of the group in the plant amounted to more than $130 million.
At the beginning of November 2022, the PFP announced a forced suspension of production due to shelling of the energy infrastructure by the Russians.
