Feb-05-2007

New charges of embezzlement and money laundering are brought against Messrs. Khodorkovsky and Lebedev, who would otherwise have been eligible for parole during 2007.

These charges accuse them of “stealing” Yukos’s entire oil production by overseeing the sale of oil between Yukos’s production and refining companies at less than market price. Such “transfer pricing” between related entities in a vertically structured oil company are industry standard.