Response by Ministry of Economy: ICSID has already confirmed correctness of Government of Montenegro’s decision regarding KAP

    #GovernmentOfMontenegro #TheGovernment #MinistryOfEconomy

    Podgorica, Montenegro (14 November 2016) — Regarding the Central European Aluminium Company’s claims about launching a civil lawsuit against the state of Montenegro, the Ministry of Economy reminds that the company lost the case against Montenegro before the Arbitration Tribunal of the International Centre for Settlement of Investment Disputes (ICSID) in Paris in July this year…

    Podgorica, Montenegro (14 November 2016) — Regarding the Central European Aluminium Company’s claims about launching a civil lawsuit against the state of Montenegro, the Ministry of Economy reminds that the company lost the case against Montenegro before the Arbitration Tribunal of the International Centre for Settlement of Investment Disputes (ICSID) in Paris in July this year.

    The arbitration tribunal also decided that costs of the arbitration proceedings and legal representation amounting to €900,000 should entirely be borne by CEAC. CEAC is also obliged to compensate the costs Montenegro has already had within these proceedings.

    Considering all the circumstances of the case and the fact that the CEAC initiated proceedings in which it was not able to prove that it has relevant qualifications. The arbitral tribunal decided that the costs of the arbitration proceedings and legal representation amounting to EUR 900,000 should entirely be borne by the CEAC. CEAC is also obligated to compensate the costs Montenegro has already had within these proceedings.

    This is the greatest testament to the fact that, when it comes to the Aluminium Plant Podgorica (KAP), the Government did everything in compliance with the Settlement Agreement, current legislation and the best international practice in this area, and we expect that this will be confirmed in this case as well.

    The Ministry of Economy will not, as it did not before, comment on the proceedings that are in progress.

    Source: Government of Montenegro