It has been reported that the Centre for Settlement of Investment Disputes (ICSID) at World Bank has awarded Smurfit Westrock more than $470m, plus interest, in its arbitration case against Venezuela.
ICSIDÂ issued an award granting subsidiary Smurfit Holdings BV compensation of $468.7m plus legal costs of $4.5m and interest from the end of May to the date of payment. The award relates to an claim filed by Smurfit Holdings BV against Venezuela in 2018 after the country’s government seized its business and landholdings in Venezuela.
The tribunal dismissed Venezuela’s objections to its jurisdiction and ruled that the country had breached its obligations to a treaty with the Netherlands. Venezuela was found to have breached articles protecting against unfair and inequitable treatment and arbitrary and discriminatory measures, and its obligation to guarantee the repatriation of dividends without undue restriction or delay.
