The largest private business in Kuwait has reportedly won $930-million in damages from Libya for former leader Muammar Gaddafi's cancelling of the construction of a vacation resort.
M. A. Kharafi and Sons (MAK Group), owned by one of Kuwait's biggest merchant families, won the award in arbitration proceedings via the Arab League.
The Kuwaiti group signed a contract in 2006 with the Gaddafi government to build the resort in Tripoli, which would have included hotel accommodation, villas and a shopping mall. It spent money on feasibility studies, design and management contracts, until Libya cancelled the deal in 2010.
The Kharafi group claimed it had lost 90 years worth of revenue in the deal and used a joint investment protection agreement from the Arab League for the case.
(Sources: Reuters, Arabian Business)
