Crystallex International Corporation v. Bolivarian Republic of Venezuela

Filing 869

MEMORANDUM ORDER re: motions for extension of time (Misc. No. 17-151 D.I. 849, C.A. No. 23-1405 D.I. 13, C.A. No. 23-1406 D.I. 13, C.A. No. 23-1407 D.I. 13, C.A. No. 23-1408 D.I. 13, C.A. No. 23-1409 D.I. 13) Signed by Judge Leonard P. Stark on 01/18/2024. Associated Cases: 1:17-mc-00151-LPS et al.(smg)

IN THE UNITED STATES DISTRICT COURT
FOR THE DISTRICT OF DELAWARE
CRYSTALLEX INTERNATIONAL CORP.,
Plaintiff,
v.

Misc. No. 17-151-LPS

BOLIVARIAN REPUBLIC OF VENEZUELA,
Defendant.
OSTRIDER LIMITED,
Petitioner/Plaintiff,
v.

C.A. No. 23-1405-LPS

PDVSA PETROLEO S.A.,
Respondent/Defendant.
UML BLANDFORD LIMITED,
Petitioner/Plaintiff,
v.

C.A. No. 23-1406-LPS

PDVSA PETROLEO S.A.,
Respondent/Defendant.

UNION GLORY LIMITED,
Petitioner/Plaintiff,
v.

C.A. No. 23-1407-LPS

PDVSA PETROLEO S.A.,
Respondent/Defendant.
CLION LIMITED,
Petitioner/Plaintiff,
v.

C.A. No. 23-1408-LPS

PDVSA PETROLEO S.A.,
Respondent/Defendant.
CLION LIMITED,
Petitioner/Plaintiff,
v.

C.A. No. 23-1409-LPS

PDVSA PETROLEO S.A.,
Respondent/Defendant.
MEMORANDUM ORDER
WHEREAS, on December 12, 2023, the petitioners/plaintiffs in C.A. Nos. 23-1405, 231406, 23-1407, 23-1408, 23-1409 (“Petitioners/Plaintiffs”) filed letters, purporting to be
Attached Judgment Statements,1 on the docket of Crystallex International Corp. v. Bolivarian

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Capitalized terms not otherwise defined have the meaning ascribed to them in the Sixth
Revised Proposed Order (A) Establishing Sale and Bidding Procedures, (B) Approving Special

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Republic of Venezuela (the “Crystallex Action”) (Misc. No. 17-151 D.I. 794, 795, 796, 797, 798).
WHEREAS, Petitioners/Plaintiffs stated that the letters were filed “[i]n accordance
with,” among other things, “Special Master Pincus’ letter dated August 7, 2023 ([Misc. No. 17151] D.I. 652), [and] the Court’s oral order of August 8, 2023 ([Misc. No. 17-151] D.I. 654).”
(E.g., Misc. No. 17-151 D.I. 794 at 1) The deadline for filing an Attached Judgment Statement,
however, was nearly four months earlier: August 14, 2023. (See Misc. No. 17-151 D.I. 652 at 2)
(“Any Judgment Holder is hereby requested to file a statement, not to exceed five (5) pages in
length, on the Court’s docket by Monday, August 14, 2023.”)
WHEREAS, Petitioners/Plaintiffs have not sought an extension to file their Attached
Judgment Statements.
WHEREAS, on December 18, 2023, the Special Master appointed in the Crystallex
Action, Mr. Pincus, filed a letter regarding the Steps Chart, in which he stated that “[t]he UK
Arbitration Creditors [i.e., Petitioners/Plaintiffs] first received arbitration awards on April 13,
2023 and did not file their respective judgment statements until December 12, 2023 –
approximately four (4) months after the deadline set in the Judgment Statement Letter.” (Misc.
No. 17-151 D.I. 803 at 2) Hence, the Special Master has not included the judgments held by
Petitioners/Plaintiffs on the Steps Chart. (See id.)
WHEREAS, on January 5, 2024, the Court ordered Petitioners/Plaintiffs to show cause,
by filing a letter no later than January 12, 2024, as to why the Court should not strike their
Attached Judgment Statements as untimely. (See, e.g., C.A. No. 23-1405 D.I. 10 at 4) The Court
also ordered that the respondent/defendant in C.A. Nos. 23-1405, 23-1406, 23-1407, 23-1408,

Master’s Report and Recommendation Regarding Proposed Sale Procedures Order, (C)
Affirming Retention of Evercore as Investment Banker by Special Master and (D) Regarding
Related Matters (Misc. No. 17-151 D.I. 481) (“Sale Procedures Order”).
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23-1409, PDVSA Petroleo S.A. (“PDVSA S.A.”), may file a response to Petitioners/Plaintiffs’
letters no later than January 16, 2024. (Id. at 4-5) The Court further ordered that the Special
Master may address the issues raised in the order to show cause by filing a letter no later than
January 17, 2024. (Id. at 5)
WHEREAS, on January 11, 2024, Petitioners/Plaintiffs filed motions for extension of
“Step 5 and related deadlines,” seeking to extend the Step 5 deadline (see Misc. No. 17-151 D.I.
646 at 5) from January 12, 2024 to February 13, 2024. (Misc. No. 17-151 D.I. 849 at 5; see also,
e.g., C.A. No. 23-1405 D.I. 13 at 5)2
WHEREAS, also on January 11, 2024, Petitioners/Plaintiffs filed motions for
“conditional” writs of attachment fieri facias against the shares of PDV Holding, Inc. (“PDVH”)
owned by Petróleos de Venezuela, S.A. (“PDVSA”). (See, e.g., C.A. No. 23-1405 D.I. 15)
WHEREAS, on January 12, 2024, Petitioners/Plaintiffs filed a letter in response to the
January 5 order to show cause, in which Petitioners/Plaintiffs argued that striking the Attached
Judgment Statements would not be “necessary or warranted.” (E.g., C.A. No. 23-1405 D.I. 18 at
3) Petitioners/Plaintiffs also indicated that they had proposed to the Special Master that they
would “withdraw the December 12 letter, if the Court or Special Master Pincus prefers, without
prejudice to seek leave to resubmit a statement should the Court enter judgments on the Petitions
[(see, e.g., C.A. No. 23-1405 D.I. 1)] and extend the relevant deadline.” (E.g., C.A. No. 23-1405
D.I. 18 at 3)
WHEREAS, PDVSA S.A. did not file a response by January 16, 2024.
WHEREAS, the Special Master did not file a letter by January 17, 2024.

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Substantively identical documents have been filed in C.A. Nos. 23-1405, 23-1406, 23-1407,
23-1408, and 23-1409.
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NOW, THEREFORE, IT IS HEREBY ORDERED that:
1.

The Special Master appointed in the Crystallex Action SHALL file a letter (not to

exceed 5 pages) no later than 6:00 p.m. on Saturday, January 20, 2024, advising the Court of
his position(s) regarding: (1) Petitioners/Plaintiffs’ motions for extension of “Step 5 and related
deadlines” (see, e.g., Misc. No. 17-151 D.I. 849); (2) the issues relating to Attached Judgment
Statements raised in the January 12, 2024 letter filed by Petitioners/Plaintiffs (see, e.g., C.A. No.
23-1405 D.I. 18); and (3) any other issues relating to Petitioners/Plaintiffs’ actions on which the
Special Master wishes to be heard.
2.

Any Sale Process Party who wishes to respond to Petitioners/Plaintiffs’ motions

for extension of “Step 5 and related deadlines” (see, e.g., Misc. No. 17-151 D.I. 849) may file a
letter (not to exceed 3 pages) no later than 6:00 p.m. on Saturday, January 20, 2024.
3.

PDVSA S.A. may file a letter (not to exceed 3 pages) no later than 6:00 p.m. on

Saturday, January 20, 2024 responding to Petitioners/Plaintiffs’ motions for extension of “Step
5 and related deadlines” (see, e.g., C.A. No. 23-1405 D.I. 13).
4.

Petitioners/Plaintiffs may file a reply letter (not to exceed 3 pages) no later than

11:00 a.m. on Monday, January 22, 2024.

________________________________
HONORABLE LEONARD P. STARK
UNITED STATES DISTRICT COURT

January 18, 2024
Wilmington, Delaware

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