Georgian PM on int’l court ruling on Anaklia port project: arbitration “established truth”, plaintiff lost after failing “crucial project”

Georgian Prime Minister Irakli Kobakhidze on Wednesday said the International Court of Arbitration’s ruling in favour of the state in a dispute following its 2020 cancellation of the contract of a private consortium for building a deepwater port in the north-western Black Sea town of Anaklia had established “the truth”.

He noted Mamuka Khazaradze, co-founder of TBC Bank, partner in the initiative with the Anaklia Development Consortium, and now leader of the Lelo opposition party, had lost in the lawsuit against the state, which cancelled the contract for the Consortium’s failure to facilitate the project within deadlines.

• Georgian PM: int’l court’s ruling on Anaklia port project arbitration means “truth has prevailed”  

The Prime Minister claimed the state had created “all the conditions” for the Consortium to attract investors for the project and postponed the deadline “several times”, before “Khazaradze’s Consortium failed to attract investors and miscarried a most important project”.

Afterwards, he took the bold step of taking legal action against the state. He sought millions in damages from the state for an alleged harm he suffered. The arbitration process has revealed the truth in this matter, and it is absolutely logical”, he said.

Kobakhidze further noted the Government had “even amended the constitution to make it easier” for the Consortium to attract investors, adding it still “failed to attract a single investor”.

• Economy Minister: int’l court’s ruling on Anaklia port project confirms Gov’t was “absolutely right”

In his reaction, Khazaradze - who submitted the lawsuit together with partners alleging violation of rights in the cancelled contract - on Tuesday expressed frustration on social media about the decision of the Court, calling it “disappointing”.