Boost to Yukos as bailiffs relent

Oil giant Yukos will be allowed to use its current accounts, previously frozen, to pay off a massive tax bill, Russian bailiffs have agreed.

The decision is a lifeline for the beleaguered company and means it can use its bank accounts for operating costs and so stay afloat.

Yukos said it welcomed the decision that "will allow us to steadily pay off our tax bill", put at $3.4bn (£1.8bn).

This follows repeated requests by Yukos for it to spread out its payments.

Russia's largest oil producer, producing one fifth of the country's oil, will now be able to pay tariffs on its exports that go by rail. These could have been halted by the end of the week because the company had no more cash.

Some 25% of Yukos exports are transported by rail.

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The company's long-running stand-off with the state, and the arrest of its founder and Russia's richest man Mikhail Khodorkovsky on separate charges, have helped push up oil prices to record highs.

The agreement with the state helped ease some of the global oil price pressure despite oil cartel Opec's warning that supplies are becoming scarce.


So far, Yukos has managed to pay $700m of its $3.4bn (£1.8bn) tax bill for the year 2000, and its executives have vowed to try their best to pay off the remainder soon.

But commentators warn that if the government pushes through with 2001-2003 tax claims, the bill could end up being as high as $10bn.

Yukos is regarded as one of the most transparent Russian companies, but also as one, in the Kremlin's eyes, that has gained too much influence and political power.

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