A Piraeus judge has declared a freeze on assets held in Greece by NewLead Holdings principal Michael Zolotas, up to a value of about $22m.

The decision, announced earlier this month, is a victory for applicant TransAsia Commodities Investment, a UK-based trading company which is engaged in a globe-spanning campaign to enforce a New York court ruling from last year.

The US judgment found Zolotas guilty of agreement violation, fraud and conspiracy over a coal supply deal between the two litigants that never materialised.

The Greek court’s decision allows TransAsia Commodities to chase Zolotas’ movable or fixed assets in Greece — whether they are held by Zolotas, Newlead Holdings, or third parties.

“We are very pleased,” TransAsia Commodities chief executive Serge Turko told TradeWinds. “The Greek court has believed in the merit of our case and supported us to the full — it didn’t just rubber-stamp the US ruling,” he added.

Zolotas and NewLead have so far refused to pay TransAsia Commodities $22m, as ordered by the Supreme Court of New York last year.

Turko has since been moving in several jurisdictions to track down Zolotas’ assets. He has already obtained asset freeze rulings in Paris, as well as in Monaco, where Zolotas maintains a residence.

TransAsia Commodities has separately filed an action in New York to force Zolotas to turn over an apartment he bought there in 2010 that he then gifted to his wife — from whom he is separated.

Other creditors are also lining up, Greek online auction registers show. Piraeus Bank, a local lender, earlier this year obtained court approval to foreclose on a Zolotas-owned property worth €420,000 ($494,562), to recoup part of a €568,500 debt.

Under the hammer

The real estate, located in the leafy suburbs of northern Athens, is set for auction in November. It is not clear whether this auction will go ahead as planned following the asset freeze order issued by the Piraeus court.

Another online auction of Zolotas-owned assets has been set for October. It involves a house clearance, with assets including furniture, air conditioners, utensils, carpets, a home cinema, porcelain dolls, paintings, icons, cutlery, a microwave oven, a coffee machine and even the model of a former NewLead bulker, valued at €100.

The planned online auction has been forced by a Cyprus-based creditor, Silverdale Management Ltd, which is chasing Zolotas over a €19,000 debt. An online notary document names Zolotas’ estranged wife as guardian of these objects.

This is not the end of the Greek owner’s problems. Zolotas still faces charges in Cyprus for allegedly bribing the country’s former central banker, which the shipowner has denied.

A Cypriot arrest warrant in the case led to Zolotas being jailed for two months in Athens at the end of last year. He was then extradited to Cyprus, where he was released after paying a €350,000 bond.

Zolotas’ lawyer had not responded to a request for comment by the time TradeWinds went to press. NewLead’s Piraeus office telephone number is temporarily disconnected, and the company appears to have vacated its Akti Miaouli offices.