The GMR Group, which had to exit the Male airport project, today said a tribunal has declared the Maldivian government and the nation's airport agency "jointly and severally liable in damages" to the company for loss caused by the wrongful repudiation of the agreement.
Four months after Maldives terminated the contract given to Indian infrastructure major GMR to develop and operate the international airport in Male, the two sides will sit down next month in London to begin the multi-million dollar arbitration process.
The Maldives Airport Company Limited took over operations from GMR, which was awarded a USD 511-million contract in 2010 by the previous Nasheed government to build and operate the Ibrahim Nasir International Airport for 25 years.
After over a week-long legal battle, Indian infrastructure major GMR will hand over the operations of the Male International Airport to Maldives's state-run MACL midnight tonight with the expiry of the deadline for the same.
Amid reports that India has stopped funds to Maldives over unilateral decision to terminate GMR contract, Maldivian government Friday said it has so far not asked for further release of funds under standby credit facility of USD 100 million extended by New Delhi.
Stating that GMR Infrastructure has not invested in Maldives "to be compensated", the company has said it will take all "legal remedies" to protect its USD 511 million airport contract in the island nation.
In a move to put pressure on Male, India has frozen aid to the Maldives as its government Monday decided to take control of the international airport despite a Singapore court staying the suspension of the contract given to India's GMR-led consortium.
Malaysia has pledged to work out a solution to the issues surrounding the Maldives government's decision to annul the airport contract given to a consortium led by India's GMR Group and Malaysia Airports Holdings Berhad (MAHB).