Reko Diq case: Pakistan slapped with $5.97 bln penalty

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ISLAMABAD: The International Center for Settlement of Investment Disputes (ICSID) has imposed a heavy fine of $5.976 billion on Pakistan in its 700-page ruling.

The ICSID handed Pakistan a $4.08 billion penalty and $1.87 billion in interest.

Geo TV quoted a source as saying that Pakistan will challenge the decision before an international court by filing a revision application.

Tethyan Copper Company’s (TCC) management had claimed $11.43 billion in damages.

The company filed claims for international arbitration before the ICSID in 2012 after the Balochistan government had turned down a leasing request from the company.

Former Chief Justice Iftikhar Chaudhry had terminated the deal in 2013.

The tribunal, earlier, held the view that Pakistan is mandated to pay damages for breach of contract.