51 125. It has been proved that in July 1997, Mr. Ivcher’s nationality title was annulled. Based on this act and, pursuant to the legislation that required that owners of telecommunications media companies should be of Peruvian nationality, in August 1997, Judge Percy Escobar: a) ordered a precautionary measure that suspended the exercise of Mr. Ivcher’s rights as majority shareholder and chairman of the Company and revoked his appointment as a director the Company; b) ordered that an extraordinary general meeting of the shareholders of the Company should be judicially convened in order to elect a new board and prevent the transfer of Mr. Ivcher’s shares, and c) granted the minority shareholders provisional administration of the Company until a new board was appointed (supra para. 76.s.3). 126. The consequences of the precautionary measure ordered were immediate and evident: they prevented Mr. Ivcher Bronstein from acting as director and chairman of the Company, so that he could not continue directing the editorial line of Channel 2; he was also deprived of the possibility of taking part in board meetings, where the minority shareholders took important decisions, such as removing the members of the board, including Mr. Ivcher, appointing new members and even increasing the Company’s capital; finally, he could not transfer his shares, receive dividends from them and exercise the other rights that corresponded to him as a shareholder of the Company. 127. The International Court of Justice has made a distinction between the rights of a company’s shareholders from those of the company itself, indicating that domestic legislation grants shareholders specific direct rights, such as receiving the agreed dividends, attending and voting at general meetings and receiving part of the assets of the company when selling their shares91. This Court observes that the said precautionary measure obstructed Mr. Ivcher’s use and enjoyment of such rights; also, when his wife, as co-owner of her husband’s shares, tried to enforce those rights, the measures she took were ineffective. Consequently, the Court concludes that Mr. Ivcher was deprived of his property, in violation of the provisions of Article 21(2) of the Convention. 128. The Court must now determine whether the above-mentioned deprivation was in accordance with the American Convention. In order for the deprivation of the property of a person to be compatible with the right to property embodied in the Convention, it should be based on reasons of public utility or social interest, subject to the payment of just compensation, and be restricted to the cases and according to the forms established by law. 129. In the instant case, there is no evidence or argument to confirm that the precautionary measure ordered by Judge Percy Escobar was based on reasons of public utility or social interest; to the contrary, the proven facts in this case coincide to show the State’s determination to deprive Mr. Ivcher of the control of Channel 2, by suspending his rights as a shareholder of the Company that owned it. 130. Moreover, there is no indication that Mr. Ivcher has been compensated for the deprivation of the enjoyment and use of his property, or that the measure that affected him was adopted according to the law. It must also be recalled that, in this judgment, the Court has concluded that the procedures relating to the restriction of Mr. Ivcher’s rights with regard to the Company, including the procedure by which 91 Cf. Barcelona Traction, Light and Power Company, Limited, Judgment, I.C.J. Reports 1970, p. 36, para. 47.