On 29 July 2024, Mr Justice Robin Knowles gave judgment following a three-month trial in October-December 2023 on the so-called ‘Tuna Bonds’ litigation concerning three infrastructure projects in Mozambique and their associated sovereign-guaranteed financings of more than $2 billion. The trial was listed to determine 12 separate proceedings arising from the same factual matrix concerning the projects, their financings, the Republic of Mozambique’s claim to sovereign immunity and related issues.
Timothy Howe KC, Rupert Allen, Daniel Edmonds, Nick Daly and Orestis Sherman instructed by Weil Gotshal & Manges (London) LLP represented VTB Capital Plc (in administration with Teneo as administrators) in its claim against the Republic in its capacity as sovereign guarantor for repayment of loan monies advanced by VTBC to finance two of the three projects.
VTBC settled its claim against the Republic for a substantial amount following the conclusion of the trial. The claim had raised numerous complex and novel issues arising in relation to the State Immunity Act 1978, upon which the Republic relied to deny liability; in particular concerning the authority of the Republic and its officials to execute the sovereign guarantees.
Accordingly, the judgment now handed down only determines (substantially in the Republic’s favour) the claim brought by the Republic against various Privinvest group entities and their (now late) owner Mr Iskandar Safa, by which the Republic alleged that bribes had been paid to various Mozambican officials between 2013 and 2014 in relation to the three projects which Privinvest had agreed to supply.
The judgment can be found here.
