Aircraft leasing company Avolon has reportedly initiated a lawsuit against a syndicate of insurers in the Irish High Court over losses linked to Russia-Ukraine war.
The lessor is said to have suffered losses worth over $261m after ten of its jets were seized by Russian airlines following Ukraine invasion and European Union sanctions.
The then Avolon CEO Dómhnal Slattery had said the firm would put all efforts to reclaim the assets.
Later, the company confirmed plans to claim against the policies based on valid insurance cover for the Russian aircraft.
Reports, citing court listings, said the legal proceedings were against insurers led by Lloyds Insurance Company.
As per the listings, the Dublin-based firm’s subsidiary Avolon Aerospace (Hamilton) AOE 1 Ltd commenced legal action against Lloyds.
As its first step, Avolon has reportedly filed a plenary summons with the court.
A company spokesperson said: “We have always maintained that we will rigorously pursue our claim and issuing proceedings now is the next stage in that process.”
However, details regarding the amount to be claimed were not disclosed.
Avolon is said to have provided 14 aircraft to Russian carriers.
Adhering to EU sanctions, the lessor was forced to end leases with the nation’s airlines. However, it could recover only four of the aircraft following the invasion.
In the first quarter of this year, the company highlighted $304m in loss owing to the 10 jets stuck in Russia.
After offsetting this against other lease balances, Avolon reported a net loss of $261m.