Scanning monopoly company demands $359 mln

The news has been confirmed by the State Advocacy, which has started the procedures for selecting the legal studio that will defend Albania in this conflict.

Last April, two months before the elections, the previous government chose “Rapiscan”for the 10-year monopoly. The agreement was opposed from the beginning, especially by business groups, who declared that it increases the costs for businesses and damages the economy.

Despite the opposition, the government signed the agreement before the elections. The company claims they have fulfilled all conditions for the agreement, but the current government has blocked it from entering in effect. The new government has tried to argue that the concession is null and invalid, since it goes against the country’s laws and also against the laws of the European Union.

“ Rapiscan” claims they have been damaged, and in August 2014 they submitted the request for arbitrage at the International Chamber of Commerce.

This is the second time in a short period that Albania is sued by a foreign company. The first time was with CEZ, with whom the government was able to settle. Now Albania will be forced to manage an even hotter case, with 359 million USD at stake. This is 3.6% of the GDP, or 15% of the annual budget.

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