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.

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
Chinese New Year sparks full alert for coronavirus

The Chinese government stopped all outgoing flights from Wuhan. It should have been done sooner, but...(Read More)


Chinese experts join Phuket sea-rescue exercise

The whole situation looks complete different when 500-600 (no joke!) motorbike block the end of the ...(Read More)


Phuket ferry suspended after pickup truck rolls off the deck, into the sea

Great way to get a new truck. Let me know when this ferry is running again. LOL. Between the robbed ...(Read More)


Mandatory health insurance for retirees falls flat as ‘Non-Imm O’ visa loophole exposed

What is equally confusing is that different Royal Thai Embassies overseas appear to have different r...(Read More)


China quarantines city at centre of virus outbreak

K,what is so unbelievable about it ? No government worldwide did prevent airplanes from Wuhan landin...(Read More)


Phuket restaurant staffer claims B200k lottery ticket stolen in violent mugging

Easy case for the RTP, just ask the woman who she told about the winning ticket. People are sometime...(Read More)


China quarantines city at centre of virus outbreak

Please PN,show mercy and stop torturing us with publishing anymore comments from the self acclaimed ...(Read More)


Chinese New Year sparks full alert for coronavirus

Did the resident public health expert really post 8 times to one article (including at 3:38 am)? I&...(Read More)


Chinese boy in Phuket cleared of Wuhan flu

"The boy’s parents and other people known to have been in close contact with the boy have not...(Read More)