Just In: Mozambique can sue Privinvest in London ‘tuna bond’ case, UK court rules

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Just In: Mozambique can sue Privinvest in London ‘tuna bond’ case, UK court rules

11:11 CAT | 20 Sep 2023

FILE - For illustration purposes only. [File photo: UKSupremeCourt / Linkedin]

Mozambique can sue shipbuilder Privinvest in Britain over the $2 billion “tuna bond” scandal, the United Kingdom’s Supreme Court ruled on Wednesday, just weeks before a blockbuster trial begins in London.

The republic is suing Privinvest, its owner Iskandar Safa, Credit Suisse and others at London’s High Court over government-guaranteed loans raised in 2013 and 2014, hundreds of millions of dollars of which went missing.

Privinvest had argued that, under its contracts with Mozambique, any dispute between the parties must be dealt with by arbitration. In 2021, the Court of Appeal ruled in the company’s favour, in a blow to Mozambique’s efforts to recoup the money it says it lost.

But the Supreme Court unanimously allowed Mozambique’s appeal against that ruling on Wednesday, meaning the republic’s claims against Privinvest will be heard in a months-long trial due to start on Oct. 3.

Source: Reuters