GMR won arbitration award against Maldivian government
Indian infrastructure giant, GMR has won the arbitration award against Maldivian government for wrongful termination of Airport project contract.
GMR, the Indian infrastructure giant on 19 June 2014 won the arbitration award against Maldivian government for wrongful termination of Airport project contract.
The legal battle between GMR and Maldives government lasted for a period of 18-month. The battle started after the government led by President Mohamed Waheed in 2012 suspended a lease contract that was signed by former President Mohamed Nasheed’s government. Following the suspension, GMR sued Maldives for 1.6 billion dollar compensation under the contract.
Under the contract, GMR was supposed to develop and operate Male International airport in Maldives. Maldives tribunal in its decision said that the government’s rejection of the contract was wrongful. The tribunal in its decision has directed Maldives and the state-owned Maldives Airports Company (MACL) to pay 4 million dollar legal damages to GMR within 42 days. Apart from this, GMR has also demanded a compensation of 1.4 billion dollar losses incurred by it in last one year on its bid amount and investments in developing the airport.
About GMR Group
GMR Group is India’s one of the fastest growing infrastructure enterprise with its interests in Airports, Energy, Highways and Urban Infrastructure sectors. The group has successfully implemented several iconic infrastructure projects in India by employing Public Private Partnership model.
It also has a global presence with infrastructure operating assets and projects in Turkey, Indonesia and Nepal.