CK Hutchison seeks $1.5 billion from Panama in treaty dispute arbitration
On Thursday, CK Hutchison announced it had initiated international arbitration proceedings against Panama, seeking damages exceeding $1.5 billion. The dispute stems from the destruction of its investments in Panama due to several actions taken by the Central American nation over the past two years. These actions culminated in the termination of the concession contract for the ports of Balboa and Cristóbal, as well as the takeover of the port terminals.
The Hong Kong-based conglomerate, which is owned by Li Ka-shing, the wealthiest man in Hong Kong, firmly disagrees with Panama's actions, which it claims violate an investment protection treaty. CK Hutchison's subsidiary, Panama Ports Company (PPC), will continue separate arbitration proceedings, which were initiated in February after the country's highest court annulled its licenses to operate two Panama Canal ports.
In March, PPC expanded its claims to over $2 billion, alleging the state's illegal takeover of two port terminals and company property.
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Also reported by 2 other outlets
- CK Hutchison seeks $1.5 billion from Panama in treaty dispute arbitration channelnewsasia.com
- CK Hutchison seeks $1.5bn in damages over seized Panama Canal ports asia.nikkei.com
