MOSCOW, June 21 (TASS) - The Russian state-run VEB.RF applied to the arbitration institute of the Stockholm Chamber of Commerce for compensation of losses of its subsidiary bank in Ukraine, the development institution said on Friday.

“The VEB.RF state corporation applied to the Arbitration Institute of the Stockholm Chamber of Commerce with a lawsuit against Ukraine because of violation on its part of the Agreement between the Cabinet of Ministers of Ukraine and the Government of the Russian Federation on encouragement and mutual protection of investments dated 1998,” VEB.RF says.

“Ukrainian authorities violated all guarantees provided by them in the investment agreement during the last several years. The time has come now to call them to account,” the Russian company says.

VEB.RF sent a written notice of an investment dispute to Ukraine earlier and suggested starting talks to settle inflicted damages. However, Ukraine has not expressed the desire to settle disagreements on a voluntary basis.

In 2008, VEB purchased shares of Ukraine-based Prominvestbank and invested over $2.7 bln into its development over a few years. Various sanctions and restrictions apply to banks with the Russian capital in Ukraine since 2014.