THE PAVILIONS PHUKET BRITISH INTERNATIONAL SCHOOL, PHUKET
THE PAVILIONS PHUKET BRITISH INTERNATIONAL SCHOOL, PHUKET Kata Rocks
The Phuket News Novosti Phuket Khao Phuket

Login | Create Account | Search


Hopewell petition rejected

THAILAND: The Administrative Court on Friday (Aug 23) threw out a petition by the Transport Ministry and the State Railway of Thailand (SRT) seeking a retrial over a compensation award of B37 billion to Hopewell Holdings.

constructionpoliticstransport
By Bangkok Post

Saturday 24 August 2019, 02:53PM


A State Railway of Thailand train passes by the abandoned pillars of the 1990 Hopewell project in Bangkok. Photo: Patipat Janthong / Bangkok Post

A State Railway of Thailand train passes by the abandoned pillars of the 1990 Hopewell project in Bangkok. Photo: Patipat Janthong / Bangkok Post

On April 22 this year, the Supreme Administrative Court ordered the ministry and SRT to make payment to the firm within 180 days for losses incurred by the company after Thai authorities terminated the contract for the Hopewell elevated highway and railway line two decades ago. (Read story here.)

The payment covers B11.88bn, plus an interest rate of 7.5% a year, or around B37bn in total.

Following the court’s ruling, the government was urged to seek a retrial with the Administrative Court.

In their petition, the ministry and the SRT claimed the Supreme Administrative Court’s order was based on inaccurate information.

However, the Administrative Court ruled that there was no new evidence from the plaintiffs to justify their request for a fresh review. The court also confirmed the Supreme Administrative Court’s full authority to hear and rule on the dispute and thus dismissed the petition.

The contract to build the “Hopewell Project” was signed on Nov 9, 1990, when the late Montri Pongpanit was transport minister in the Chatichai Choonhavan government. When the 30-year concession was granted in 1990, investment in the project was estimated at B80bn.

Diamond Resort Phuket

However, construction was only 13% complete by the agreed deadline.

The contract was officially terminated on Jan 27, 1998, by the Chuan Leekpai-led Democrat government, when Suthep Thaugsuban was transport minister.

After the contract’s termination, the dispute was heard by the Arbitration Tribunal, which ruled in favour of Hopewell Holdings. The SRT sought the Administrative Court’s intervention and the court overruled the Arbitration Tribunal’s ruling.

The tribunal lacked the authority to decide on the Hopewell project, because Hopewell filed its complaint after the five-year arbitration complaint period had ended, the court ruled.

However, the SRT lost the legal battle in the Supreme Administrative Court, which upheld the Arbitration Tribunal’s decision made over a decade ago.

Read the original story here.

Comment on this story

* Please login to comment. If you do not have an account please register below by simply entering a username, password and email address. You can still leave your comment below at the same time.

CAPTCHA

Be the first to comment.

 

Have a news tip-off? Click here

 

Phuket community
Chalong Police arrest woman for overcharging for face masks

Must have been a fake Gucci mask - real one costs much more. Should ask her if she know of anyone s...(Read More)


Phuket beach ban breakers scramble as police arrive

Just release some more raw sewage into all the beaches and the beachgoers will scramble for sure......(Read More)


Hollywood’s darkest days

Yes, Idris Elba had it. And what did that mean for him? The same as it does for most people who get ...(Read More)


Patong blockade: No face mask, no entry

Considering the size of the island it would not take much to infect the older population, let's ...(Read More)


Wichit Police launch checks on construction sites, workers’ camps

By the way, the photos here not show the shack golf plate camps the Burmese workers live, but the bu...(Read More)


Phuket beach ban breakers scramble as police arrive

Oh yes Fascinated. Executed by firing squad because this must be the most gruesome crime done on Phu...(Read More)


Wichit Police launch checks on construction sites, workers’ camps

Allowing the construction mafia to continue on with business as usual is another clear statement tha...(Read More)


Wichit Police launch checks on construction sites, workers’ camps

Guidelines for Burmese worker camps? Give me a break, that is just on paper and in brown envelopes. ...(Read More)


Phuket beach ban breakers scramble as police arrive

Villa Markets, 24 hrs shops ( now limited opening hours), and Makro's are more crowded than wha...(Read More)


COVID-19 forces Phuket hotels to put launches on hold

Adding 6% rooms, accompanied by an extra 6% water- electric- and incinerator capacities? No! 1400 h...(Read More)