Israel’s suit against the Soviet oil trust for unilateral breach of contract in cutting off crude oil supplies after the Sinai operation in October 1956 was held up once again this week-end, according to press dispatches from Moscow.
The arbitration commission before which the Israeli damage suit for more than $2,000, 000 is being heard informed the Israeli attorneys presenting the case that their second choice, D. L. Nesterov, for an arbitrator was not available. The Israeli first choice, D. F. Ramzaytsev, became ill in the course of the hearings and, after several days, resigned just as the Israelis were bringing their case to a close.
The hearing, which opened last December 4, is based on the claims of two Israeli oil companies that a citrus-for-oil agreement had been breached by the Soviet company without their consent. They dispute the Soviet company’s assertion that it was forced to do so by instructions from the USSR Government, noting that the company is actually an extension of the government and not a separate entity.
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