Pakistan must pay a total of US $ 5.840 Billion including interest to TCC in damage : ICSID

[Khafee]

If you lose the appeal dont you have to bear the expenses of the opposing party in International Agencies ?

Every institution has it's own set of rules. I'm unaware of this tribunals working, so cannot comment.

 

[Goku]

Even if u challenge it , decision will come in 2-3 years , ultimately u have to pay the amount or negotiate directly with the company
IK needs to buck up and perform , still i don't understand why hasnt IK declare a financial emergency?
1. Once emergency is declared , salaries of all except president are either stopped or halved
2. Ik needs to temporary halt all unwanted projects which require huge capital and focus on existing and extremely important projects
3. Those PSUs which are in loss need to be divested and privatized eg PSM , PIA etc
4. Instead of increasing tax rate , focus should be to increase tax base , demonetise high value currency and those who have hoarded black money will be forced to exchange notes in the banks and then FBR can penalise and tax them
5. Ban all imports of luxurious items or impose heavy duties
6. Focus on reducing subsidies and incentives to all sectors except exports

 

[Nilgiri]

So now international courts/tribunals have jurisdiction over judgments of local courts of a country?

When they involve international monies and vetted international arbitration, you bet they do.

Or Pakistan can cut itself completely from those (and face results of that), some people are already attacking interest/riba in this thread after all.

 

[BL33D]

Every institution has it's own set of rules. I'm unaware of this tribunals working, so cannot comment.

Its the case in ICJ and many others, might be same here also. Will check

 

[American Pakistani]

These descisions don't bind us. We are a sovereign nation with nikes. There isn't much enforcement they can carry out.

Lol, are you serious or trolling or just a little kid who build castle on imaginations.

 

[Norwegian]

Lol, are you serious or trolling or just a little kid who build castle on imaginations.

https://twitter.com/x/status/1150069688610840576

 

[BL33D]

Lol, are you serious or trolling or just a little kid who build castle on imaginations.

Maybe you havent heard of Hyperinflation when the rest of the world will blacklist the country and stop exports. Everyone becomes zillionaire like in Zimbabwe.

 

[Lincoln]

my fault, i forgot that i was discussing things in PDF.

IMF package to bring $38bn from other creditors
https://www.dawn.com/news/1492216

I was referring to above loan package .

$38 billion collectively from other lenders. Not solely IMF.

Well then the interest would only grow and your ratings would be downgraded and that would cause in depreciation of rupee and the amount will only grow. A bad mix.

The fine is not active when case is appealed. Not sure about interests. But the court arbitrates a time period and the sums to be paid in installments. The fine slapped includes $4 billion fine and $1.8 billion interest. Maybe that is it and covers the time period given.

Even if u challenge it , decision will come in 2-3 years , ultimately u have to pay the amount or negotiate directly with the company
IK needs to buck up and perform , still i don't understand why hasnt IK declare a financial emergency?
1. Once emergency is declared , salaries of all except president are either stopped or halved
2. Ik needs to temporary halt all unwanted projects which require huge capital and focus on existing and extremely important projects
3. Those PSUs which are in loss need to be divested and privatized eg PSM , PIA etc
4. Instead of increasing tax rate , focus should be to increase tax base , demonetise high value currency and those who have hoarded black money will be forced to exchange notes in the banks and then FBR can penalise and tax them
5. Ban all imports of luxurious items or impose heavy duties
6. Focus on reducing subsidies and incentives to all sectors except exports

It is not to the point where we will default. I was mentioning a hyperbole. Since loans are secured, there isn't a need to declare financial emergency.

 

[Nilgiri]

From article cpl years ago:

https://www.dawn.com/news/1370083

Despite a recent rise in the number of international arbitration cases, Pakistan has been unable to develop its own specialised pool of experts in arbitration and contract writing. The selection of arbitration counsels and law firms at home and abroad is made on the basis of relationships, friendships and pick and choose at exorbitant cost, rather than on the basis of a transparent process.

In the Karkey case alone, Pakistan is estimated to have paid almost Rs1.5bn to the foreign law firm, besides expenses on visits of official delegations.

One reason why Pakistan faces international arbitration cases is its inability to evolve a uniform law for the standardising of contracts and the choice of arbitral frameworks. In most cases, the government agrees to the demands of external investors in long-term deals and cherry-picking in dealing with jurisdictions of the local legal system to bypass contractual enforcement.

Karkey and Reko Diq are classic examples of adopting such a route. The country’s apex court intervened in business disputes in both cases to get rid of apparently unfavourable business deals and yet found to its embarrassment that contracts involving international arbitration end up attracting expensive compensation in case of the violation of provisions of contracts.

It also brought to the fore the need for productive institutional input for the preparation of contracts and business terms, along with the selection of the arbitration forum and proper preparatory mechanism in selecting law firms and arbitrators having expertise in special areas and jurisdiction.

On top of that, there is no reward and punishment mechanism for the preparation of contracts, selection of dispute settlement mechanism in contracts and the negotiation strategies where the public-sector entities readily agree on international arbitration without input from experts. In the process, they willingly waive its rights over sovereign immunity in matters of enforcement of arbitral awards, thus giving up the jurisdictions of local courts.

In fact, those involved in the process mostly try to come up to the expectations of the boss, irrespective of pros and cons of the deal, to get rewards in the shape of promotions and lucrative postings.

 

[American Pakistani]

Maybe you havent heard of Hyperinflation when the rest of the world will blacklist the country and stop exports. Everyone becomes zillionaire like in Zimbabwe.

Did you see the post that I replied, and what I replied?

Of course there are severe implications of disregarding the dicision. Pakistan govt should negotiate with company and come to a settlement. Are these ppl fkturds in the govt has been sleeping since 2017. Like they dont give a fk.

 

[mastaan]

This will get challenged and the company will settle out of court.

Arbitration can be long lined.. The only thing that is tricky is.. Hopefully your govt hasn't committed to the ruling being positively binding. If that trap is avoided, then the mining company should get ready for for an appeal from Pakistan and for a few more years.

 

[American Pakistani]

From article cpl years ago:

https://www.dawn.com/news/1370083

Despite a recent rise in the number of international arbitration cases, Pakistan has been unable to develop its own specialised pool of experts in arbitration and contract writing. The selection of arbitration counsels and law firms at home and abroad is made on the basis of relationships, friendships and pick and choose at exorbitant cost, rather than on the basis of a transparent process.

In the Karkey case alone, Pakistan is estimated to have paid almost Rs1.5bn to the foreign law firm, besides expenses on visits of official delegations.

One reason why Pakistan faces international arbitration cases is its inability to evolve a uniform law for the standardising of contracts and the choice of arbitral frameworks. In most cases, the government agrees to the demands of external investors in long-term deals and cherry-picking in dealing with jurisdictions of the local legal system to bypass contractual enforcement.

Karkey and Reko Diq are classic examples of adopting such a route. The country’s apex court intervened in business disputes in both cases to get rid of apparently unfavourable business deals and yet found to its embarrassment that contracts involving international arbitration end up attracting expensive compensation in case of the violation of provisions of contracts.

It also brought to the fore the need for productive institutional input for the preparation of contracts and business terms, along with the selection of the arbitration forum and proper preparatory mechanism in selecting law firms and arbitrators having expertise in special areas and jurisdiction.

On top of that, there is no reward and punishment mechanism for the preparation of contracts, selection of dispute settlement mechanism in contracts and the negotiation strategies where the public-sector entities readily agree on international arbitration without input from experts. In the process, they willingly waive its rights over sovereign immunity in matters of enforcement of arbitral awards, thus giving up the jurisdictions of local courts.

In fact, those involved in the process mostly try to come up to the expectations of the boss, irrespective of pros and cons of the deal, to get rewards in the shape of promotions and lucrative postings.

Honestly, you would run our govt better than these politicians and leaders ruling Pakistan. These fkrs don't give a fk apparantly.

 

[BL33D]

Did you see the post that I replied, and what I replied?

Of course there are severe implications of disregarding the dicision. Pakistan govt should negotiate with company and come to a settlement. Are these ppl fkturds in the govt has been sleeping since 2017. Like they dont give a fk.

I think there have been more severe problems than this case to deal. I am telling this from an academic perspective and not a biased Indian, i think there would be more serious cases of corruption if things are audited properly. Many things the previous gov. would have done will be in the shadows. You guys need a dramatic turnaround and an excellent economic advisor to get you out of this crisis. Maybe try for India's Ex RBI chief Raghuram Rajan, the guy who predicted the 2008 crisis.

 

[ejaz007]

@FOOLS_NIGHTMARE Thank you nawaz sharif.

The deal was cancelled in 2011 on the order of Supreme Court.

Not every thing is done by Nawaz Sharif. There are others much worse then him.

 

[AZ1]

The deal was cancelled in 2011 on the order of Supreme Court.

Not every thing is done by Nawaz Sharif. There are others much worse then him.

Then .nawaz came.and did nothing to settle it. One NRO to another NRO what awam will get? Nothing now awam has to pay $6 billion sooner or later