CK Hutchison Seeks HK$11.7 Billion From Panama Over Canal Port Takeover
Updated
Updated · South China Morning Post · Aug 20
CK Hutchison Seeks HK$11.7 Billion From Panama Over Canal Port Takeover
3 articles · Updated · South China Morning Post · Aug 20
Summary
CK Hutchison has launched international arbitration against Panama, seeking more than HK$11.7 billion after the government took control of the Balboa and Cristobal canal ports on February 23.
The Hong Kong conglomerate says Panama breached an investment-protection treaty and international law through sovereign acts that targeted its long-held concession and destroyed its investments.
That claim is separate from a contractual arbitration by 90%-owned Panama Ports Company, which is seeking at least HK$15.6 billion, lifting total demands tied to the takeover above HK$27.3 billion.
The dispute escalated after Panama’s Supreme Court ruled in January that PPC’s concession was unconstitutional, and CK Hutchison said efforts to resolve the treaty dispute since its February 4 notice had failed.