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Crystallex International Corporation is a Canadian-based gold company with a successful record of developing and operating gold mines in Venezuela and elsewhere in South America

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Message: VENEZUELA STARTS PAYING MILLIONS OF DOLLARS TO CRYSTALLEX MINING COMPANY

The restriction order mentioned in the article refers to the attachment order approved by the the NY court on USD 710 million in Nomura Bonds owned by Venezuela but in Nomura's possesion to be sold on Venezuela's behalf. The Venezuelan Central Bank acquired the bonds as an investment when Nomura needed to raise funds during the financial crises, and Nomura was one of the "house banks".

Being Nomura bonds with a term exiring in 2013, the sale proceeds would generate around $700 million in cash.

The article indicates that Crystallex lifted the attachment order on the Nomura bonds. This implies that 1) The bunds were in Nomura's possesion, otherwise it would have been voided as unforceable,

2.- The funds are still in Nomura's possesion and attachable, otherwise the order would not have to be lifted by Crystallex.

The $700 million question here is why would Crystallex prefer to get a few million dollars over many years instead of getting $700 million over a few months by forcing its way to the funds with the help of the NY courts.

Something smells rotten here. No wonder secresy is the norm in this case.

 

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