The Peruvian State won the arbitration process initiated in September 2013 by Exeteco International Company for the cancellation of a project to build and manage a penitentiary.
According to El Comercio, due to this, the company claimed an economic compensation of approximately $50 million US dollars.
In a statement, the Ministry of Economy and Finance (MEF) reported yesterday that the Peruvian State was notified on October 8 with the award issued on the aforementioned arbitration process, whereby “the Arbitral Tribunal terminates the arbitration process, concluding in this way the procedure in favor of Peru.”
He also explained that Exeteco International Company submitted a notice of arbitration five years ago alleging Spanish nationality and alleged breaches of the bilateral investment treaty with the Kingdom of Spain by Peru.
Nevertheless, according to MEF, during the course of the procedure, “Peru highlighted the importance of due process and good management of arbitration disputes, in contrast to the lack of evidence and procedural advance on the part of the [company]plaintiff”.