Iraq Telecom Limited v. IBL Bank S.A.L.

Filing 109

ORDERED that the parties Iraq Telecom Ltd. and Intercontinental Bank of Lebanon S.A.L. shall be prepared to address the following questions, as further set forth in this Order. (Signed by Judge Denise L. Cote on March 14, 2022) (ST)

Case 1:21-cv-10940-DLC Document 109 Filed 03/14/22 Page 1 of 2

UNITED STATES DISTRICT COURT
SOUTHERN DISTRICT OF NEW YORK
--------------------------------------- X
:
IRAQ TELECOM LIMITED,
:
:
Petitioner,
:
:
-v:
:
IBL BANK S.A.L.
:
:
Respondent.
:
:
--------------------------------------- X

21cv10940 (DLC)
ORDER

DENISE COTE, District Judge:
An oral argument in the above-captioned case has been
scheduled for Wednesday, March 16, 2022 at 10:00 a.m. in
Courtroom 18B, 500 Pearl Street.

It is hereby

ORDERED that the parties Iraq Telecom Ltd. (“Iraq Telecom”)
and Intercontinental Bank of Lebanon S.A.L. (“IBL”) shall be
prepared to address the following questions.
1.

Why did Iraq Telecom withdraw its demand for damages in the
arbitration, Case No. 175/2018?

2.

What steps that can be publicly disclosed has Iraq Telecom
taken to locate the assets of nonparty Sirwan Saber Mustafa
(“Barzani”)?

3.

Does IBL take the position that it is solvent when an
internationally recognized rate of exchange is applied to
its financial statements as opposed to Lebanon’s official
exchange rate?

4.

By what metrics is a bank, in general, considered
insolvent?

5.

Will the attachment of $3 million, $9 million, $42 million,
or $100 million, in IBL’s New York correspondent accounts

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Case 1:21-cv-10940-DLC Document 109 Filed 03/14/22 Page 2 of 2

present a material risk of forcing IBL’s failure or
collapse?
6.

What would be the likely effect on IBL customers’ access to
their deposited funds of seizing IBL’s funds held in its
New York correspondent accounts pursuant to Banque du Liban
(“BdL”) Basic Circular No. 154?

7.

What would be the likely effect on IBL customers’ access to
their deposited funds of seizing IBL’s funds held in its
New York correspondent accounts pursuant to BdL Basic
Circular No. 158?

8.

What are the expected consequences for a Lebanese bank that
falls out of compliance with BdL reserve requirements?

9.

What is the potential impact on the New York system of
correspondent banks of seizing a New York-based
correspondent account?

Dated:

New York, New York
March 14, 2022
____________________________
DENISE COTE
United States District Judge

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