Colombian court cancels concession contract for Ruta del Sol II highway project

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The Arbitration Court of the Chamber of Commerce of Bogotá has canceled the concession contract signed for the Ruta del Sol II toll road highway project in Colombia. The law case for Ruta del Sol II project that has started four years ago, and the concession contract was suspended after the corruption scandal with the Brazilian firm Odebrecht, one of the members of Concessionaire Ruta del Sol SAS, in 2016.

The court has unanimously decided and declared the absolute nullity of the contract due to abuse and deviation of power of the Concession Contract granted for the project. The concession was signed by the National Infrastructure Agency (ANI) and Concessionaire Ruta del Sol SAS. 

The decision of the court ordered the State to pay COP 211,373 million (US$ 61.7 million) to the Ruta del Sol Concessionaire, whose members are Odebrecht, Episol de Corficolombiana, and CSS Constructores. This amount must be used to pay debts with third parties in good faith, among which are employees, suppliers and banks. This amount will come from the trust fund of the Ruta del Sol Concessionaire, which contains COP 187,056 million (US$ 25.4 million). It means that the State, represented by the National Infrastructure Agency has to pay COP 24,217 million (US$ 7 million). This is much lower amount than was estimated by experts before the arbitration.

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