Won By A Kuwaiti Company.. An International Lawsuit Fines The Kurdistan Region Nearly 500 Million Dollars, 13 FEB

 Won By A Kuwaiti Company.. An International Lawsuit Fines The Kurdistan Region Nearly 500 Million Dollars

Arab and international  Economy News – Baghdad  The Nullification Committee of the International Arbitration Tribunal of the International Center for Settlement of Investment Disputes supported, by a majority, Agility’s appeal of the original arbitration decision while partially invalidating it, which confirms “Agility’s” right to file a claim again against the Iraqi government.

The disqualification panel agreed with Agility's defense that the original arbitration panel had wrongly shielded the actions of the Government of Iraq from scrutiny, and therefore did not consider whether the actions and omissions of the Government of Iraq violated the terms of protection afforded to Agility under the Kuwaiti Bilateral Investment Agreement. And Iraq.

Accordingly, and as a result of the original arbitral tribunal's failure to state the reasons on which it based its decision, it had committed a voidable error pursuant to Article 52 (1) (b), as well as Article 52 (1) (e) of the International Center for Settlement Convention. Investment disputes.

The committee stated that: “By focusing only on confiscation claims that arise solely as a result of the faithful implementation of the CMC order, the arbitral tribunal has failed to address or examine the manner in which the Government of Iraq has implemented the CMC order and, therefore, has grossly exceeded its authority.” "Superior."

The Committee commented helpfully with the following: “The Committee considers that this finding is reinforced by the fact that the failure to exercise jurisdiction to determine consistency with the provisions of the Kuwait-Iraq Bilateral Investment Agreement in relation to the expropriation claims also had multiplier effects on the other claims brought by the Company ( Agility, which ultimately led to none of them being resolved.”

As a result of this decision, Agility will now have the opportunity to re-file its claims before a newly formed arbitration panel at the International Center for Settlement of Investment Disputes that will determine Agility’s claims related to Iraq’s expropriation of the company’s investments, and its failure to grant Agility fair and equitable treatment. And its failure to give the company full protection and guarantee as required under the bilateral investment agreement between Kuwait and Iraq.

Following the issuance of the final annulment decision, Agility reported: “Three years ago, it was clear that the ICSID Arbitration Tribunal had failed. It has protected the actions of the Government of Iraq from any audit procedures, which clearly violates the basic guarantees against confiscation and unfair and inequitable behavior stipulated in the Bilateral Investment Agreement between Kuwait and Iraq, protection from which Agility benefited.

We are aware that less than 5 percent of arbitration awards related to the Kuwait-Iraq Bilateral Investment Agreement have been invalidated, and we are very grateful to Professor Ricardo Ramirez (Chair) and Professor Hai Tak Shin for their courage in invalidating this false patent.”

Assignment of an expert

On the other hand, Alcazar Capital Partners, a subsidiary of Lagility, filed suit No. 8228/21 Commercial Total 5, the subject of which is the assignment of an expert to settle the account regarding a sovereign guarantee issued in its favor by the Government of Kurdistan, on the basis of the statement that it was dated September 11, 2007. The Kurdistan Regional Government of Iraq provided Alcazar Capital Partners with a guarantee to guarantee a loan worth $250 million (about 75 million dinars), plus interest at 7 percent annually, which Alcazar Capital Partners provided to Korek Telecom, to be used for the purpose stated in the guarantee.

This is to finance the payment of the second installment of the price of the national mobile phone license covering Iraqi territory, which the aforementioned company won.

It is stated in the core of the guarantee provided by the Kurdistan Regional Government of Iraq that the guarantee provided by it, individually or jointly with “Korek Telecom”, gives the absolute right to “Alcazar Capital Partners” to have recourse against the Kurdistan Regional Government of Iraq individually, and it is alone with the company that guaranteed it under the guarantee. As stated above, as long as it is agreed at the core of the guarantee to return to the guarantor alone.

“Agility” requested its entry before the Court of Appeal with “Alcazar Capital Partners,” joining its request from the court to oblige the first respondent (the Kurdistan Regional Government) to pay to the appellant (Alcazar Capital Partners) the amount of $490.077 million, the value of the loan and the legal interest from the date of the loan and the letter of guarantee.

Sovereignty dated September 11, 2007, obligating it to pay any new interest at the rate of 7 percent until full payment, while obligating it to pay expenses and 200 dinars in exchange for the actual attorney’s fees for the two levels of litigation. “Agility” reported that the decision of the Court of Appeal came in favor of “Alcazar Capital Partners,” as The text of the appeal ruling, as issued by the court, is as follows:

First: Accepting the appeal in form.

Second: Accepting Agility’s intervention in public warehouses in form.

Third: Regarding the subject of the appeal, canceling the appealed ruling (the ruling of the first instance, which ruled to reject the case and obligating the plaintiff company “Alcazar Capital Partners” to pay its expenses, and 10 dinars for attorney’s fees), and obliging the first respondent (the Kurdistan Regional Government) to pay the appellant (Alcazar Capital Partners) The amount of $490.077 million (about 149.4 million dinars), the value of the loan and the legal interest from the date of the loan and the sovereign guarantee letter dated September 11, 2007, obligating it to pay any new interest at the rate of 7 percent until full payment, while obligating it to pay expenses and 200 dinars for the actual attorney’s fees for the two levels of litigation. .

Agility noted that “the Court of Cassation recently issued its ruling in favor of Alcazar Capital Partners by rejecting the appeal filed by the Kurdistan Regional Government against the appeal ruling, and thus the ruling became final in favor of Alcazar Capital Partners.”

In addition, Alcazar Capital Partners, a subsidiary of Agility, filed a lawsuit to settle the account regarding a sovereign guarantee issued in its favor by the Kurdistan Government, based on the statement that on 9/11/2007, the Kurdistan Regional Government of Iraq submitted to Alcazar Company Capital Partners is a guarantee to guarantee a loan worth two hundred and fifty million dollars, plus interest at the rate of 7% annually, provided by Alcazar Capital Partners to Korek Telecom, a company established in accordance with the laws of the State of Iraq and registered in the Kurdistan region, to be used for the purpose stated in the text.

The guarantee is to finance the payment of the second installment of the price of the national mobile phone license covering Iraqi territory, which was won by the aforementioned company.

It is stated in the core of the guarantee provided by the Iraqi Kurdistan Regional Government that the guarantee is provided by it alone or jointly with Korek Telecom, and this gives Alcazar Capital Partners the absolute right to have recourse against the Iraqi Kurdistan Regional Government individually.

Alcazar Capital Partners requested that the Experts Department at the Ministry of Justice assign one of its specialized experts to review the case file and the documents it contains and to report on the value of the amounts owed to the company by the Iraqi Kurdistan Regional Government, which is the principal of the loan and its accumulated interest at the fixed interest rate in the body of the surety bond of the lawsuit, from the date of Granting the loan and guarantee obtained on September 11, 2007 until full payment, in addition to fees, expenses, and actual attorney’s fees.

Agility requested its entry before the Court of Appeal with Alcazar Capital Partners, joining its request from the court to oblige the first respondent (the Kurdistan Regional Government) to pay the appellant (Alcazar Capital Partners) an amount of $490,077 million and the legal interest from the date of the loan and the sovereign guarantee letter dated 11 /9/2007 and obligating it to pay any new interest at the rate of 7% until full payment, while obligating it to pay expenses and two hundred Kuwaiti dinars in exchange for the actual attorney’s fees for the two levels of litigation. 227 views 02/13/2024 - https://economy-news.net/content.php?id=40407