The Communications Commission wins an international judgment and $ 5 million in compensation

[yota691]

The Communications Commission wins an international judgment and $ 5 million in compensation

•  Time: 02/22/2021 20:41:26
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{Baghdad: Al Furat News} The International Center for Settlement of Investment Disputes, affiliated to the World Bank, issued a ruling dismissing the lawsuit against the Republic of Iraq represented by the Media and Communications Authority filed against it unfairly by the Kuwaiti Agility Company.

In a statement, the Euphrates News Agency received a copy of it today, "Agility filed a lawsuit against the Republic of Iraq in the year 2017 at the International Center for Settlement of Investment Disputes in Washington regarding its investments in the Iraqi Cork Telecom Company, which amount to about 800 million US dollars," the commission said in a statement.
And according to that, he assigned the Media and Communications Commission, as one of the parties to the lawsuit, the task of defending the rights of the Republic of Iraq and contracting with one of the largest international companies specialized in international arbitration cases, in coordination with the Prime Minister’s office, the Ministries of Justice and Foreign Affairs, our embassy in Washington, and the specialized international advisers.
The commission indicated that it has continued its procedures for a period of more than four years and by striving, vigorous follow-up and exceptional efforts, those efforts have resulted in success in preserving the rights of the Republic of Iraq, as the International Center for Settlement of Investment Disputes of the World Bank issued today, Monday, February 22, 2021, its decision to dismiss the case that "It was requiring that the Republic of Iraq pay huge sums of money in exchange for an investment decision taken by the Kuwaiti company Agility and its French partners, France Telecom in 2011 with the Cork company."

She indicated that "the international decision included refuting all the arguments used by Agility company, including defaming the authority in charge of the commission and deliberate slandering in distorting the image of Iraqi officials, and the International Center charged Agility Company to pay costs amounting to more than 5 million US dollars for the benefit of the Republic of Iraq."

And he regained that, "In view of this decision and fair international arbitration, the commission reiterates its assertion that its keenness and cooperation of all Iraqi parties in protecting the rights of the state had a great impact on winning one of the most important international arbitration cases and preserving Iraq's international reputation and the integrity and transparency of institutional procedures."

Raghad Daham

[yota691]

Iraq confiscates "Agility" and "Orange" investments worth $ 800 million

The headquarters of the Kuwaiti company Agility

 February 23, 2021 9:59 AM

Agility
AGLTY

 

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Kuwait - Mubasher : Agility Public Warehousing  Company , listed on the Kuwait and Dubai Stock Exchanges, announced that the State of Iraq had confiscated an investment of "Agility" and "Orange" worth $ 800 million "without punishment ." 

Agility said in a statement to the Kuwaiti Stock Exchange today, Tuesday, that Iraq’s decision to confiscate the aforementioned investment came after a “flawed decision” from the arbitration panel, explaining that the company is currently studying all options to request revocation of the arbitration decision .

"Agility" clarified that the arbitration panel of the International Center for Settlement of Investment Disputes, based in Washington - USA, issued its decision in the case filed by "Agility" against the Republic of Iraq to reject the company's claims against the latter. Agility obligated to repay an estimated total of $ 5.18 million .

The company indicated that it is engaged in direct claims in the amount of $ 700 million against each of Korek and Sirwan Barzani and others. Under separate arbitration procedures established according to the rules of the International Chamber of Commerce .

She noted that the financial impact of the ruling cannot be determined at the present time, as the company is assessing with its legal team the possibility of recovering the value of this investment .

It should be noted that the book value of Korek's investment is 145 million Kuwaiti dinars (480.3 million dollars). However, the company is now unable to determine the value of any provision until all claims, including the current claims against Korek and Sarwan Barzani, are concluded with a value of no less than 210 million Kuwaiti dinars. ($ 695.6 million ).

In February 2017, Agility submitted an arbitration request to the International Center for Settlement of Investment Disputes against the Republic of Iraq, regarding the actions and non-conduct of the government of Iraq, especially the Iraqi Communications and Media Commission, regarding the authority’s decision to revoke the written approval granted to Agility’s investment in the “Korek” company. Telecom, in addition to the commission’s order to transfer the ownership of Agility’s shares in “Cork Telecom” to Iraqi shareholders and implement the transfer in March 2019 .

Agility's claims included compensation for the Iraqi government's confiscation of the company's investments of more than $ 380 million in the Iraqi telecommunications sector, failure of the State of Iraq to respect its obligations in treating Agility in a fair and equitable manner, and respect for procedures in violation of the provisions of the Second Investment Treaty signed by both Iraq and Kuwait .

[yota691]

The World Bank rejects the Kuwaiti company Agility's claims against Iraq and fines it $ 5 million

16:01 - 23/02/2021

 

  

Information / translation ...

The World Bank court rejected the case against Iraq by the Kuwaiti company Agility, in which it claimed that it had lost 380 million dollars of investment in Cork Telecom Company.

"The court issued orders to Agility, one of the largest logistics services companies in the Gulf, to pay more than $ 5 million to Iraq in exchange for costs related to the case," Reuters reported in a report translated by the agency.

He added that “the company had submitted a request for arbitration in 2017 with the International Center for Settlement of Investment Disputes, which is part of the World Bank Group and deals with disputes between international investors, as the company claimed that Iraq indirectly confiscated its investments that exceeded 380 million dollars and violated the 2015 protocol. Bilateral between Kuwait and Iraq on encouraging the movement of capital and investment between the two countries.

The company continued in its complaint that " Iraq deprived the company and its subsidiaries of the ability to appeal the 2014 decision of the Iraqi National Communications and Media Authority to cancel Agility's investment in Cork Telecom, the Iraqi mobile operator."

The document obtained by Reuters, a copy of the court's final decision, said, “The World Bank’s arbitration panel rejected my age’s claims, and ordered the company to pay nearly $ 5.2 million to Iraq to cover fees related to the case, and if it does not do so within 30 days, it must The company is to pay interest to Iraq at a rate of six months in US dollars at a rate of 2 percent of the amount, as of the time of the decision, on any amount due, on a semi-annual basis.

A close Iraqi source said, "The court's decision depends on the fact that the dispute precedes the Kuwaiti-Iraqi protocol, and that my generation did not use all the legal means available in Iraq to challenge the decision of the Media and Communications Commission."

It is noteworthy that Agility Company still has other successful business interests in Iraq . She said in her statement that "a bad commercial investment decision on its part should not be extrapolated to criticize the Iraqi investment climate." According to the statement. End / 25 z

[SocalDinar]

World Bank body dismisses Agility's claims against Iraq

By Reuters Staff

4 MIN READ

DUBAI (Reuters) - Kuwaiti logistics company Agility’s claim to recover more than $380 million it said it lost in Iraq has been rejected by an international tribunal, a document seen by Reuters showed.

Agility, one of the largest Gulf logistics companies, was also ordered to pay Iraq more than $5 million for costs related to the case.

The company filed for arbitration in 2017 with the International Centre for Settlement of Investment Disputes (ICSID), which is part of the World Bank Group and handles disputes between international investors.

Agility has said Iraq indirectly confiscated its investment, which was worth over $380 million, and violated a 2015 bilateral protocol between Kuwait and Iraq on encouraging the movement of capital and investment between the two countries.

Agility said Iraq denied the company and its subsidiaries the ability to challenge a 2014 decision by Iraq’s National Communications and Media Commission (CMC) to annul Agility’s investment in Korek Telecom, an Iraqi mobile phone operator.

CMC’s decision was based on Korek’s not meeting conditions related to improving its services and expanding coverage, a source in the Iraqi prime minister’s office said, asking not to be named.

The World Bank body tribunal on Monday dismissed Agility’s claims, and ordered the company to pay Iraq nearly $5.2 million to cover fees related to the case, the document, a copy of the tribunal’s final decision, said.

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If it does not do so within 30 days, Agility must pay Iraq interest at the six-month U.S. dollar rate of LIBOR plus 2%, as of the time of the decision, on any outstanding amount, compounded semi-annually.

In a statement on Tuesday, Agility called ICSID’s ruling “fundamentally flawed” and said it was considering its options to apply for the decision’s annulment.

Iraq’s government said in a statement it was delighted with the outcome.

IRAQI AVENUES

The tribunal’s decision hinged on the fact that the dispute predated the Kuwait-Iraq protocol and that Agility did not use all the legal avenues available in Iraq to challenge the CMC’s decision, the Iraqi source said.

In its statement, Agility said it was pursuing claims of more than $700 million directly against Korek, one of its top executives and others through a separate arbitration pursuant to International Chamber of Commerce rules.

CMC’s CEO Ali Khwildi and the Iraqi source said the amount claimed by Agility neared $800 million.

 

Korek had no immediate comment.

Agility’s position was that Iraq “failed to accord (Agility’s) investment fair and equitable treatment when it prevented the claimant access to the administrative court proceedings in Iraq to challenge the CMC,” the document said.

It also said the World Bank tribunal said it has no jurisdiction on whether the CMC’s order was lawful.

Agility said the tribunal made its decision “without investigating or considering evidence of corruption by key members of Iraq’s Communications and Media Commission (CMC).”

“The ICSID tribunal has sent the message - not only to the Republic of Iraq, but to the international community of civilised nations - that states can expropriate investments without providing compensation to their foreign investors,” Agility said in its statement.

Iraq’s government said Agility’s response was unfair.

“Agility continues to have other business interests in Iraq which are successful. Therefore, a bad commercial investment decision on its part should not be extrapolated to criticise the Iraqi investment climate,” it said in its statement to Reuters.

 

https://www.reuters.com/article/us-agility-iraq/world-bank-body-dismisses-agilitys-claims-against-iraq-idUSKBN2AN0W6?rpc=401&