DATE: 20061002

DOCKET: C45374

COURT OF APPEAL FOR ONTARIO

RE:

NATALIA BELITTCHENKO (Applicant/Respondent in Appeal) – and – ANDREI BELITTCHENKO (Respondent/Appellant in Appeal) – and – OLEG BELITTCHENKO AS TRUSTEE AND THE JULZ INVESTMENT TRUST (Interveners) – and – ANATOLIY BELITTCHENKO AND NEONILA BELITTCHENKO (Interveners)

BEFORE:

LABROSSE, MACPHERSON AND LANG JJ.A.

COUNSEL:

Gary Joseph

for the appellant and the interveners, Oleg Belittchenko as Trustee and The Julz Investment Trust

Harold Niman and Anita Volikis

for the respondent

Igor Ellyn and Orie Niedzviecki

for the interveners, Anatoliy Belittchenko and Neonila Belittchenko

HEARD & RELEASED ORALLY:

September 27, 2006

On appeal from the order of Justice Nancy Backhouse of the Superior Court of Justice, dated April 12, 2006.

E N D O R S E M E N T

[1] It is indisputable that the husband breached the orders of the court. He consented to numerous orders and repeatedly breached them after being warned of the severe consequences of his conduct. The finding of contempt is unassailable.

[2] With respect to penalties, we are satisfied that in the circumstances of this case, the sanctions imposed by the motion judge for the contempt were appropriate, with one exception.

[3] The prohibition against the use of the judgment of the Russian court should be set aside. This is a remedy that was not sought by the wife. Moreover, the motion judge rightly concluded that Ontario courts have jurisdiction to consider the issue of annulment. The husband may amend his pleadings, if that becomes possible. The admissibility and weight to be given to the Russian judgment will be matters for the trial judge.

[4] Except as provided above, the appeal is dismissed. The husband shall pay to the wife costs fixed in the amount of $15,000.00. No costs to or against the interveners. The letters of credit filed on their behalf are to be released.

"J.M. Labrosse J.A."

"J.C. MacPherson J.A."

"S.E. Lang J.A."