Julius Klein Appeals Leviev Verdict

Julius Klein Group has appealed a judge’s ruling upholding its $142 million arbitration loss to Leviev Gem Corp (LGC).

The New York district judge upheld the arbitration in February, after the Klein Group went to federal court to overturn it.

For the last few months, the two parties have been in negotiations and have deferred enforcement of the judgment. The last negotiating period ran through May 16 but it appears no further extensions were filed with the court.

In its appeal, the Klein Group contends the district court erred in letting the arbitration stand, as the “neutral” panelist had a criminal conviction. It also argues the court should have applied New York state, rather than federal, law.

The total arbitration judgment comes to $209 million, including $67 million the Klein Group previously paid to LGC.

The Klein Group’s lawyer declined to comment. LGC’s lawyer did not respond to a request for comment.

LGC is owned by Israeli billionaire Lev Leviev (pictured).

(Image from Wikipedia)

JCK News Director