Opinion ID: 393942
Heading Depth: 3
Heading Rank: 1

Heading: Compania Cubana de Electricidad (Cuban Electric).

Text: 17 Second: Consequently, it is hereby declared that the Cuban State is subrogated in the place and stead of the juridical persons listed in the preceding paragraph with respect to the properties, rights and interests mentioned as well as the assets and liabilities comprising the capital of the entities referred to. 18 Third: It is hereby declared that these compulsory expropriations are effected because of necessity and public utility and in the national interest as set forth in the Whereas clauses of this Resolution. 19 Defendants contend that by these provisions Cuba assumed the obligation to repay Cuban Electric's overdue loans. None of the loans was repaid. 20 Two months later, following the nationalization of the Private Banks, each defendant looked to the accounts of the Private Banks as Cuban assets against which the unpaid loans to Cuban Electric could be offset, and accordingly refused to release those accounts. Their counterclaims seek the dismissal of Banco Nacional's suit to recover the withheld moneys, on the ground that their losses resulting from the expropriation of Cuban Electric and the Cuban Government's failure to pay Cuban Electric's debts, exceed the value of the accounts. 4