JAKARTA (TheInsiderStories) – Indonesia affirmed its absolute winning in International Centre for Settlement of Investment Disputes in Washington D.C., over US$1.31 billion sue from British’ Churchill Mining Plc. and Australian Planet Mining Pty Ltd.
This came up following Churchill and Planet Mining annulment request, as they found that their discovery obligations were limited by domestic law on confidentiality, and procedural orders outside committee’s mandate.
“After a long battle against a company that’s strong enough, we, the Indonesian government, won a lawsuit against Churchill and Planet Mining because on March 18, ICSID again rejected their second annulment request,” said Indonesia Law and Human Rights Minister Yasonna Laoly, on Monday (03/25).
In December 2016, ICSID had rejected Churchill and Planet Mining lawsuit which made Indonesia got away from paying billion Dollar compensation. Couldn’t accept the decision, Churchill and Planet Requested annulment of the award in March 2017.
Laoly stated that the recent ICSID decision is final and there will be no more legal actions from the two plaintiffs. He added, Indonesia is also getting $9.4 million legal cost from Churchill and Planet Mining. The amount consists of $8.64 million litigation fees used by Indonesian government and $800,000 other fees for ICSID administration.
“We will claim and and pursue their assets to be confiscated if they do not have good will. We are also ready to use MLA agreements with countries that have agreed with us,” said the minister.
The disputed object was 35,000 hectares coal mining concession in four areas in East Kutai district in East Kalimantan province. The land previously operated by Nusantara Group, owned by Indonesia’ President candidate Prabowo Subianto, until 2006-2007. Then, the land was held by PT Ridlatama, before acquired by Churchill.
This case started when Churchill smells something odd of its mining license revocation in 2010. East Kutai government cancelled mining permit of Churchill and Planet in the State Administrative Court, considering that the licenses were fabricated has no East Kutai government authorization.
Both Churchill and Planet submitted arbitration lawsuit in 2012. Then it brought to ICSID forum, based on bilateral investment treaty with United Kingdom in Australia.
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