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Cyprus Court Continues Consideration of Case on Construction of New Port in Paphos

Cyprus Court Continues Consideration of Case on Construction of New Port in Paphos

10.01.2018
Tags: Cyprus, Port, Building, Paphos, Court

The Supreme Court of Cyprus upheld the appeal filed by the leadership of the Poseidon Consortium. The appeal concerns the unlawful decision of the committee conducting the tender for the construction of the port in Paphos.

In 2017, the committee dealing with the construction of the harbor in Paphos denied the consortium Poseidon in favor of Pafilia. The refusal occurred despite the fact that the consortium provided proof of financial solvency for the construction, which, however, the committee found "unsatisfactory".

Representatives of the consortium argued that such a decision of the committee is illegal, because all the tender conditions on their part were fulfilled. The leadership of Poseidon appealed to the Supreme Court to resolve this issue. At the end of 2017, the Supreme Court ruled in favor of the consortium. The court noted that the creation and functioning of the committee for management of the construction of the port is illegal, and therefore its decisions have no legal effect.

According to the representative of the Chamber of Commerce and Industry of Pafos, Andreas Demetriades, there are now two possible developments, which will also be affected by the decision of the Prosecutor General. The first option - a tender that is already over 10 years old will be canceled and a new one will be created instead. The second - a new committee on the construction of the harbor will be created. The new committee will evaluate all documents and evidence provided by the consortium Poseidon, and will decide whether they meet the conditions of the tender or not.

If all Poseidon documents are recognized as correct, the consortium will receive a construction contract. If not, the review of documents of the company Pafilia will come.

The dispute between the two companies lasts for several years. Initially, the winner of the tender was the company Cybarco-Pandora. But after that, Poseidon and Pafilia jointly began to challenge the decision. In 2008 for the period of consideration of complaints from the company the project on the construction of the harbor was frozen. So far, no decision has been taken on it.

Elena Savchenko
RuCy
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