Singapore tribunal orders Maldives to pay $250 mn to GMR

Singapore tribunal orders Maldives to pay $250 mn to GMR

GMR had asked for $1.4 bn in compensation

PTI

A Singaporean arbitration tribunal has ordered the Maldivian government to pay approximately $250 mn in compensation to Indian company GMR over termination of contract to run Ibrahim Nasir International Airport (INIA).

Singapore International Arbitration Centre has ruled that the Maldivian government should pay $208mn in damages to GMR Group and after adding the interest it should pay a total of approximately $250mn, Maldives Attorney General Mohamed Anil was quoted as saying by the Sun Online.

In a press conference held at President's Office today, Anil said that the tribunal had made its decision and released its report on October 25. The report was shared with Maldivian government last night, he said.

GMR had asked for $1.4 bn in compensation.

The Maldivian government terminated its contract with GMR on November 27, 2016, during Mohamed Waheed's presidency after an audit regarding the contract's monetary, legal and national security implications.

Anil said the audit uncovered conflicts of interest and violations of the rights of government and Maldives Airports Company Limited (MACL) arising from unseemly reliance on GMR.

Anil said the amount of compensation was $800 mn less than which was estimated by the opposition, falling closer to $300mn estimated by President Abdulla Yameen Abdul Gayoom, the report said

Related Topics:
PTI - Oct 28, 2016 12:00 IST
 
TDB Top