The International Court of Arbitration of the International Chamber of Commerce (the “ICC”) released its findings in the arbitration case between Iraq Telecom Limited, a subsidiary of Agility Public Warehousing Company KSCP, and International Holdings Limited, an affiliate of Agility, as claimants, and Korek Telecom Limited and Sirwan Saber Mustafa Barzani, as respondents. The claims were in relation to allegations of fraud and corruption orchestrated by Korek Telecom Company and its controlling shareholder, Sirwan Saber Mustafa Barzani, with a view to unlawfully causing the expropriation of IT and IH’s $810 million investment in Korek Telecom.
The ICC holds that Korek and Barzani are jointly and severally liable and, therefore, awards damages to IH and IT of $1.65 billion. The parties unanimously agreed to resolve their contractual disputes through arbitration before the ICC, which is comprised of preeminent legal experts with experience in high-value commercial litigation. The award is final and binding.
“We hope that this outcome brings resolution and closure to the issue and that the respondents will now honor their obligations in a manner commensurate with that of businesses operating in countries that respect the rule of law,” said Tarek Sultan, Agility’s vice chairman. “We remain focused on continuing to move forward with our growth strategy and profitable business partnerships — both in Iraq and around the world.”