Yukos faces huge tax bill

A judge has dismissed an attempt by Russian oil giant Yukos to gain bankruptcy protection in the US.
Yukos filed for Chapter 11 protection in Houston in an unsuccessful attempt to halt the auction of its Yugansk division by the Russian authorities.

Mikhail Khodorkovsky, the former Yukos chief, is in prison in Russia, charged with fraud and tax evasion.

But Texas Judge Letitia Clark said Yukos did not have enough of a US presence to establish US jurisdiction.

“The vast majority of the business and financial activities of Yukos continue to occur in Russia,” she said in her ruling.

“Such activities require the continued participation of the Russian government.”

There was no immediate response to the ruling from Yukos

BBC News