Islamabad: Karkey Karandeniz, which was awarded damages worth $700m by the International Centre for Settlement of Investment Disputes (ICSID) last month, has been requested by the Government of Pakistan to not share details regarding the case decision.
On Tuesday, Profit reported damages worth $700m over the rental power plants (RPPs) in a lawsuit filed against Pakistan in International Centre for Settlement of Investment Disputes (ICSID).
The ICSID on August 22nd had placed this notice on its website regarding the awarding of damages to Karkey to the tune of $700m.
According to sources, the tribunal had given a decision in March 2016 but reached to the amount of penalization which converts into Rs74b which Pakistan would be liable to pay.
Pakistan would also be required to pay a monthly interest payment of $5.6m for not having met its contractual obligations in the rental power plants deal with Karkey.
GOP approached Karkey on Wednesday to keep silent and not share details about the damages awarded to the company by ICSID. According to sources, Karkey has sought advice from its legal team whether to cede to Pakistan’s request about keeping the details of the penalty awarded under wraps for another month.
Earlier Karkey, had issued a seven-day notice period to Pakistan for making the details of the damages awarded by ICSID public, which ended on Wednesday.
Experts feel the amount would exceed $800m instead of the original $700m announced as put forth by government officials.
During Punjab Chief Minister Shehbaz Sharif’s visit to Turkey last week, he met top Turkish officials and sought their intervention in this regard, but nothing came of it.
On another note, ICSID is also handing another case pertaining to Reko Diq against Pakistan.
This is all because of incompetent bureaucracy. Pakistan should revamp it’s bureaucracy by stopping entry of mean persons in service.