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Russia’s migration service today warned it would not grant a visa to Robert Dudley, chief executive of TNK-BP, unless he presents a valid work contract within six days. The latest twist in the Anglo-Russian dispute could help the Russian billionaire co-owners of TNK-BP oust the BP-backed executive.
“We cannot grant a visa to Mr Dudley before he presents a valid contract. The previous contract expired and we have no proof that it has been prolonged,” Konstantin Poltoranin, a spokesman at the Federal Migration Service (FMS), said.
Mr Dudley’s contract expired last year but BP says it is still valid under Russian law because it has never been officially terminated and, as a result, rolls over automatically. The four Russian billionaire co-owners, who want to sack Dudley as part of their dispute with BP over the joint venture's’s strategy and management control, say the contract has never been officially renewed and is therefore no longer valid.
Dudley has a valid Russian work permit but needs to present a valid work contract to get his visa renewed. His visa expired on July 19 and the migration service agreed to give him a transit visa, which is valid until July 27.
“He (Dudley) has been given 10 days to present a contract. We may extend his visa one more time but, without a valid contract, he cannot work in Russia,” Mr Poltoranin said.
The Russian authorities this month agreed to grant nearly 50 work permits to foreign staff of TNK-BP, leaving dozens faced with having to leave the country. Mr Dudley was not among staff offered the proper documentation to stay in the longer term.
The problems with the Russian bureaucracy appear to relate directly to the battle for control between BP and the AAR consortium of four Russian billionaires, each of which owns half of the venture.
BP has reportedly blocked a $1.8 billion (£900 million) dividend payment to AAR to regain the upper hand in the dispute and has drawn up contingency plans to ensure that Mr Dudley could continue to run the company even if he is forced to leave the country.
AAR alleges that Mr Dudley runs the company as a subsidiary of BP and relies too heavily on expensive foreign workers. Several TNK-BP managers filed a discrimination lawsuit against Mr Dudley last week.
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