Arkhangelsk region arbitration court settled the suits filed by Velskoe and IlimSeverLes in order to cancel the results of the forest auction held on December, 21 2004

May 03, 2005. /Lesprom Network/. Arkhangelsk region arbitration court settled the suits of Velskoe pulp and paper enterprise and IlimSeverLes (Ilim Pulp, Arkhangelsk region, Russia) and cancelled the results of the forest auction held on December, 21 2004. The agreement of forest rent between Velskoe and Ustiapromles was annulled. As reported earlier, Velskoe (owned by IlimSeverLes, operating in Velsky district since 1999) applied to the arbitration court. Velskoe rejected the results of the forest contest held by Arkhangelsk and Nenetsk regional forest agencies. Velskoe insisted that the contest was carried out with significant violation and that the renting rights of Velskoe were infringed. The two suits were united as a single one. The court annulled the results of the contest on the basis of the plaintiffs' arguments.