NIOC to pursue legal action over UK property seizure
Iran’s National Oil Company (NIOC) said in a statement on Wednesday that it is vigorously pursuing legal avenues, both domestic and international, to overturn a UK court ruling that upheld the seizure of a property owned by the Oil Industry Pension, Savings, and Welfare Funds in London.
The NIOC said Crescent’s legal actions to claim ownership of the building began in 2022, following years of efforts and negotiations to resolve contractual disputes.
“These actions led to a ruling by a lower UK court on April 15, 2024. Unfortunately, despite the defense and follow-ups by NIOC’s legal teams and relevant authorities, the appellate court—through what NIOC describes as an unfair and biased judgment—upheld the decision, preventing the release of the seized property,” the statement said.
“Accordingly, the National Iranian Oil Company reaffirms its commitment to continue pursuing all available legal options, including appeal and cassation, in full coordination with relevant bodies such as the Presidential Center for International Legal Affairs, to overturn the ruling and protect the assets and property of the esteemed employees of Iran’s oil industry.”
The London appeals court ordered NIOC on Monday to surrender its landmark headquarters to satisfy a $2.4 billion claim by UAE-based Crescent Petroleum.
NIOC House, in central London, was managing oil contracts and sales.
The ruling was issued following a lawsuit filed by Crescent Company, which claimed that the National Iranian Oil Company transferred the property known as “NIOC House” in London to the Oil Industry Employees Pension and Welfare Fund in order to remove its assets from the reach of creditors after an international arbitration award was issued in the company’s favor.
On Tuesday, IRNA quoted an unnamed source as saying that Iran formally registered its objection to a UK court ruling on October 3. The court was expected to rule on whether to accept or reject this objection in the coming days.
The source further said that if the objection was denied and the previous ruling stood, Iranian legal representatives are prepared to appeal the case to the UK Supreme Court.
The Court of Appeal recently upheld a prior decision from the London Court of First Instance, granting authorization to enforce the seizure order for the NIOC’s London building.
The Crescent case dates back to the 2001 gas contract between the National Iranian Oil Company and the Crescent Group, which was not implemented, and the dispute between the parties was referred to international arbitration, and ultimately a verdict was issued in favor of the Emirati company.