【CKH sells ports】CKH's Panama port company initiates international arbitration against the Panamanian government, claiming at least $2 billion in damages

CK Hutchison Holdings (00001)
The Panama Port Company (PPC), a subsidiary, has issued a statement regarding the illegal takeover of Panama Port Company’s two container terminals at Balboa and Cristóbal by the Panamanian government on February 23 and thereafter. The company has taken further actions to hold the Panamanian government accountable for its unlawful conduct.

Panama Port Company has initiated international arbitration under the rules of the International Chamber of Commerce, claiming at least $2 billion (approximately 156 billion TWD). However, this amount has been falsely stated by the Panamanian government in public statements.

CK questions the Panamanian government’s aggressive enforcement approach

The Panama Port Company has exercised legal recourse through a law that broadly authorizes the forced takeover of all assets of Panama Port Company, including extensive property and equipment within the two container terminals, as well as proprietary and legally protected documents and data. This legal action also questions the government’s aggressive enforcement methods, including the seizure and improper use of assets unrelated to terminal operations.

The Panama Port Company has filed a further request with the Panama Maritime Authority to immediately recover and return proprietary and legally protected documents and data belonging to the company. These documents were unlawfully seized by the government without any valid court authorization, based solely on false claims that they pertain to terminal transfer operations.

The statement emphasizes that Panama Port Company and CK will not back down and are not merely seeking symbolic compensation. They are pursuing all rights and claims due to the Panamanian government’s serious breach of contract and anti-investor actions. The Panama Port Company and CK reserve all legal rights and claims against the Panamanian government, its agents, and any third parties.