Page:Government of the Russian Federation v Commonwealth of Australia.pdf/7

Jagot J

""(a) re-entering the Land; and

(b) taking any steps to re-lease the Land.""

12 In communications between the parties before the hearing this morning, the Commonwealth stated to the GRF that in order to preserve the utility of any final orders that this Court may make, the Commonwealth will not re-lease the Land before the challenge to the validity of the Act is resolved, or remove, damage or destroy any buildings on the Land. It is apparent that this offer by the Commonwealth is not to the satisfaction of the GRF, which continues to press for the interim orders. It is apparent from this that the real dispute between the parties is that the GRF wishes to remain in possession of the Land pending the determination of its challenge to the validity of the Act.

13 The GRF relies on two affidavits. The first affidavit is of Dr Alexey Pavlovsky, who is the Ambassador of the Russian Federation in Australia and has held this role since 20 May 2019. Dr Pavlovsky provides information about the lease of the Land which was granted to the Embassy of the Russian Federation in Australia in or about 2008. Dr Pavlovsky also deposes to the construction works which have been carried out on the Land – in short, the first stage works have been completed, which includes the construction of the consular building and security checkpoint, as well as a new transformer substation and on-site utilities, the completion of cladding of a perimeter fence, and landscaping works. Stage two has not yet been constructed. Stage two would include the construction of the Embassy building.

14 There is evidence in Dr Pavlovsky's affidavit that in 2022 the National Capital Authority issued a purported termination of the lease. This led to proceedings in the Federal Court of Australia, in which the GRF challenged the termination of the lease. Those proceedings were resolved by consent. Pending the resolution of those proceedings, the GRF, by agreement with the Commonwealth, remained in possession of the Land.

15 According to Dr Pavlovsky, the GRF has expended approximately US$5.5 million on construction works and has at all times had a presence on the Land and closely supervised the construction works being undertaken on the Land to ensure the integrity of the Embassy complex once it is constructed. Dr Pavlovsky deposes to the fact that:

""The GRF wishes to maintain possession of the Land pending the outcome of the High Court proceedings to ensure the integrity and security of the consular building and the embassy complex.""