Ecuador ordered to pay Occidental $1.77 billion in damages

The World Bank's arbitration center (ICSID) has ordered Ecuador to pay nearly $1.77 billion in damages to U.S.-based Occidental Petroleum for seizing the company's assets in 2006, but the Andean country said it would appeal the decision.

It also ordered Ecuador to pay pre-award interest on the amount at the rate of 4.188 percent per annum, compounded annually from 16 May 2006 until the date of the award.

The ruling was posted on the International Center for Settlement of Investment Disputes (ICSID) website.
https://icsid.worldbank.org/ICSID/FrontServlet?requestType=CasesRH&actionVal=showDoc&docId=DC2672_En&caseId=C80

The Ecuadorean government decided to terminate Occidental Petroleum's contract in May 2006, arguing that the company had sold a stake in its operations without government consent.

More at: http://news.yahoo.com/ecuador-ordered-pay-occidental-1-77-billion-damages-003132343--sector.html