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Posted Jv123 on the 2nd August :-

RE: The Truth is out there, somewhere !
I haven’t commented in a while – I don’t often do anyway but here’s my take on things now we’ve had some more indepth findings.

GOCG and Georgian government are corrupt – no debate in that. Their allegiance is with Russia – not Europe nor the US.

They have lied and deliberately been deceitful all through this process…..arbitration, contracts, media coverage, website. This is their style – much the same as we’ve seen both here in the UK and the US – lie and sound convincing and hopefully people will believe you – the more times you repeat the same lie, the more convincing its becomes – that’s the world we live in and it’s very much the Russian style influence. I wouldn’t be surprised if the “fake release” of the Arb was initiated by them.

However, I think they under estimated Zaza and the influence and backing he has within the US. I strongly believe the US are using FRR as a tool for driving change in Georgia. This is of significant geopolitical importance to the US and Europe.

So what can happen –

It looks like the arbitration results will be announced. Given the level of focus Zaza has put on the word “truth” I would be shocked and stunned if the arbitration result favoured GOCG in the manner they have insisted. Their bluff is about to be called! Personally I don’t think it will change anything with regards to FRR and future working relationships. Russia wants FRR out so the GOCG may try and find another angle to make this happen??

The key to success for FRR (and shareholders) is a new government – this is a must IMHO. However, Russia will try is hardest to keep the Dream Party in power – they will deploy their underhand tactics to achieve this – BUT hopefully this time – unlike the US presidency and Brexit – their attempts will fail. We have to pray this is the case.

It is obvious that the big players want into Block 12 in some shape or form -this has been made public by Zaza and is one of the reasons the release of the Arb has been delayed. Russia don’t want this….its threatens their stranglehold on Gas and energy supplies in Europe.

October is the key month for FRR. All the other stuff (courts cases, Hope/Outrider etc) is a bit of a side show and will be sorted if and when a new Gov is in place.

The US would not be actively using and supporting FRR to make political change only for the company go down the pan a few months later in some court case. Just doesn’t make sense.

Anyway – this is all just my opinion of course.

A big thanks to all who keep digging up some great info and translating into meaningful reading.

A final comment – more of a general observational one – its seems Russia and China play a very longterm strategic game – they are looking 10-20 years ahead. Everything they do has a strategic purpose - usually related to control, influence and power. The rest of the world are way behind in longterm strategic thinking...

Posted Looed on the 2nd August :-

"Oil and Gas Sector of GEORGIA in the Transition Period"
Published in 2020, and heavy on detail. No specific discussion of FRR / US interests.

Author - Teimuraz Gochitashvili, who says "The publication is mainly based on the analysis of activities related to harmonization of the energy legislation, including materials prepared with direct participation and/or under guidance of the author" (p8)

Why? - "Ensuring energy security and guaranteed supply of the country’s population and economy with affordable energy resources represents a task of critical significance" (p9)

On fossil fuels - "Fossil fuels will continue to dominate the global energy mix, accounting for 71% of all energy sources in 2050, compared with 81% in 2018 [1]. Oil will remain an important energy source, but its share in global energy is expected to decline to 26%, demand for coal will fall intensely to 18%. Natural gas will remain the only resource that will significantly increase its share in the energy balance from almost 22% at present to 27% (1.3% growth annually), reaching 5,966 trillion cubic meters by 2050." (p11)

Where does Georgia get its energy from? - "Russia, 2.5%, Azerbaijan, 97%, local production 0.4%" (table, p17)

Reserves - "According to the forecast estimations, total reserves of 2P category discovered in Georgia in 2018 are as follows: oil – 4,8 million tons, natural gas – 4.9 bcm, contingent resources of 2C category: oil – 59,5 million tons, natural gas – 5.2 bcm. In addition, total volume of prospective oil resources estimated on the up to 50 promising exploration areas delineated on the onshore and the Black Sea offshore of Georgia equal to 909,2 million tons, natural gas – 230,3 bcm." (p72)

Where - "16 fields are discovered on the territory of Georgia..3 oil fields are located in the Western Georgia...13 fields are discovered in the eastern Georgia: 5 fields are located on the adjacent territory of Tbilisi, mostly within Tbilisi-Sagarejo elevation (Norio, Satskhenisi, Teleti, Samgori South Dome, Samgori-Patardzeuli-Ninotsminda). Out of the remaining 8 fields, Mtsarekhevi, Baida, Taribani, Mirzaani, Patara Shiraki and Nazarlebi are located on the main territory of South Kakheti depression and 2 fields- West Rustavi and Rustavi - are located at its western end, in the line of junction with Tbilisi-Sagarejo elevation" (p74 &75)

Table of total production from Discovery to 2018 - (p77)
Table of estimates productive resources by trough / depression 2018 - (p78)
Table of estimated productive resources by field 2018 - (p81)

Issues - "Contractors....did not pay enough attention to upstream operations in order to discover new fields which resulted in the decline of oil production from 2004."

Gas? - "In 2018, commercial gas was extracted only from Ninotsimnda and Mtsarekhevi fields and made up about 13 Mm3." (both p82)

The file is about 180 pages - http://weg.ge/sites/default/files/book_4_25_21.03.202

Posted Looed on the 2nd August :-

Hogan Lovells & DCI Group AZ
Apologies if some of these docs have already been discussed, a few comments feel familiar, but I don't recall seeing these official documents before.

We know the Govt side like to bang on about lobbying. We already know that Hogan Lovells represented GOGC against FRR and that the Georgian Govt had retained them. I just came across a recent report about FRR lobbying and it also mentioned Hogan Lovells. If you click on Hogan Lovells it takes you to a file that contains that firms lobbying registration documents and a letter from Hogan Lovells to the GD.

A few of the statements stand out -

"The Firm will be paid a monthly retainer of $75,000 a month, commencing February 1, 2020 and ending January 31, 2021."

"The registrant will be collaborating with and may be receiving guidance from elected Georgian officials, including Members of Parliament, but will be acting at the direction and control of the political party itself, Georgian Dream."

"Georgian Dream is our client for for specific matters on which it engages us, and Hogan Lovells shall not be deemed to
represent Georgia or any other agency thereof"

The report also mentions another GD lobby firm - DCI Group AZ. If you click that link you get a similar set of documents.

Their documents include the following statements -

"To promote Georgian Dream as a reliable and pragmatic partner for democracy, peace and stability with an unwavering commitment to Western democratic liberal ideals and the special Georgia - US relationship."

"Client shall pay a monthly fee of thirty three thousand three hundred and thirty three US dollars ($33,333.00) for the Services"
(The contract runs Feb - Oct 2020)

"Client shall pay the invoice for media buys within ten (10) business days of the invoice date for amounts equal to or less than $100,000. For those media buys funded by Consultant on behalf of Client for amounts that are greater than $100,000, Client shall pay the invoice for media buys within three (3) business days of the invoice date."

Article - https://www.foreignlobby.com/2020/07/24/georgia-reinstates-deal-with-us-oil-gas-company-after-700000-lobbying-blitz/
Hogan Lovells file - https://efile.fara.gov/docs/2244-Exhibit-AB-20200208-90.pdf
DCI file -https://efile.fara.gov/docs/6278-Exhibit-AB-20200212-16.pdf

(You can only read the article one time, if you leave the page and go back you need to register. The other links should be fine)

Posted DomFok on the 1st August :-

Article “What is the risk of investing disputes initiated by investors“
Analysts estimate that the Anaklia Development Consortium's arbitration dispute against Georgia and the Frontera-related process will shake the country's investment image, but that is only one side of the coin. Experts think that the financial losses that may be imposed on the country for compensation will be unprecedentedly large. According to analyst Gia Khukhashvili, this is based on the weak arguments that, in his opinion, the state has against the plaintiffs.

"The dispute with the consortium is one of the most difficult cases that Georgia has not done. It is an alarming situation, which is not only a problem of the government, the state can suffer great losses due to these disputes. Especially with regard to the consortium, because its arguments in this case are quite solid, which is very exciting. Compared to him, the role of our side is very weak. The same goes for Frontera, the overall background is creating an annoying and damaging one, because in both cases we are dealing with American investors. We also see what a systemic vision has developed in the United States regarding Georgia, and it will do us no good. The problem may be for the state, because the "consortium" may demand a colossal amount of money to compensate for the loss, and our state will not find solid arguments against it, both directly and indirectly. In connection with this case, "Khukhashvili said.

According to the analyst, there are questions about the consortium as well.

"The government's attitude towards the investor does not fit into any framework, because it was a systemic attack on clear water. "No matter how logical the actions of the government are, it will not work in its favor to appeal against the fact that the" consortium "did not fulfill its obligations, this mimetic argument can not be justified," Gia Khukhashvili told report.ge.

As it became known today, "Anaklia Development Consortium" and one of the foreign investors, Bob Meyer, filed independent arbitration lawsuits against Georgia. "Frontera" does not give up its position with the Georgian state either. According to the State Oil and Gas Agency, the management of the company "Frontera" has publicly expressed its readiness to make public the decision of the international arbitration through one of the TV channels.

https://report.ge/economics/ra-risks-ukmnis-investitsiebs-investorta-mier-tsamotsqebuli-davebi/

Posted Looed on the 31st July :-

Pt.7 (and final part)

J1 - As if no comment is needed, it directly writes down everything that worries and bothers strategic partners at all levels already. Everything is certain and the verdict seems to have been rendered. After all this, how much did you imagine that the same thing could have happened?

Zaza - Unfortunately, we have a lot of years of experience in dealing with the government and it was not a surprise. So, one more thing to add in this regard - the State Department said in a statement that the Secretary of State agreed with Prime Minister Gakharia that Russia should cease its destabilizing activities in Georgia and return to the 2008 agreement. When do you remember the last time the Prime Minister of Georgia addressed Russia on behalf of Georgia and called on them to stop trying to destabilize Georgia? It was a shorthand record of a telephone conversation in this document.

J1 - And, in short, I have to ask you for a final evaluation as well. Do these recent activities mean that the October 2020 elections are the main test that Georgia and the Georgian government must pass?

GR - Of course, we do not remember such activity from the West. For the last 1.5 years, what we have been looking at is a letter followed by a letter, a resolution followed by a resolution, a statement followed by a statement.

J1 - Putin's Russia or the West? Will this election be the answer to all this?

GR - The West has never been so active. This is a whole cascade of statements, letters, resolutions, bills, and so on. This indicates that Georgia is at a crossroads once again. Otherwise such activity would not have been on the American side. This is another indication of how important this election is for the United States and the European Union. It will depend on these elections what kind of state Georgia will be in the future – will it be a post-Soviet, Russian sphere of influence or it will be a democratic state, welfare-oriented, human rights-oriented and part of the Western space? We will choose it in 2020 and how we will conduct these elections will determine the trajectory and fate of the country for a very long time.

J1 - Thank you very much. Zaza Mamulaishvili and Giorgi Rukhadze were our guests. This is the end of the program "Guest of the Day".

https://www.facebook.com/watch/live/?v=602501477063475&ref=watch_permalink

Posted Looed on the 31st July :-

Pt.6

Zaza - Here, take a look at this picture for a moment. The Prime Minister makes a public statement and on the other hand takes the opposite action. The US ambassador stands next to him and looks him in the eye and says that "the government has decided not to cancel the contract" and this time he is doing the opposite. Then he is proud that the US Ambassador even made a statement on how she welcomed our decision. Plus, Georgia's ambassador to the United States, the Secretary of State, is telling US politicians one thing and doing another. This is usually called a lie in the language. When you are constantly, chronically, lying at the highest level, you will have no authority and it will be difficult for any government to work with such a government in the future. So that not only the Georgian people are deceived, the American ambassador to Georgia is deceived, the members of Congress are deceived, the Secretary of State is deceived, we are deceived, everyone is deceived. And, they do it because they have nothing else to offer. Their portfolio is empty, so the only thing left is this lie. But what is the worst and most important thing in this - it harms Georgia and its population. This means that neither the politician, nor the company, nor the investor trusts this government, which translates into the fact that jobs will not be created, there will be no income and no salary. All this is transformed by these utopian lies of politicians of this rank, which we are watching these days.

J1 - And, I want to recall the letter that is dated March 15 and was received by Mike Pompeo on behalf of senators and congressmen. And, after that let’s continue the conversation.

(J1 Reads the letter) - We are specifically and increasingly concerned about Georgian ties to American hostile rivals and enemies, which are coming at the expense of our geostrategic and business interests. The currect government of Georgia led by the Georgian Dream party is implicated in efforts to crowd out legitimate American businesses, which have invested in Georgia`s economy and future. Any such activities are motivated by geopolitical considerations, including reported ties between Bidzina Ivanishvili, chairman of Georgian Dream party, and the Russian government.

Posted Looed on the 31st July :-

Pt.5
The main story is that the United States has understood exactly what kind of political force is in power in Georgia, that they can not be trusted, and they are, so to speak, a very rare case of them, so, imagine what happens - on the one hand, the Georgian government promises that He will build the port of Anaklia, but with his other hand he was doing everything to prevent this story from happening.

J1 - Yeah but how long can they tell lies? Beside the partners already have an experience in dealing with them

GR - This is an attempt by the Georgian government to tire its Western partners and show them that nothing will work out here in the end. At some point they will agree, then it will interfere again, they will agree, the Georgian government will lie again. Partly it's a matter of wasting time, partly trying to create the feeling that in reality, nothing will come out of this country and their involvement and their steps make no sense because at least everything will happen the way a billionaire wants. And, finally, all this, the messages that are in the authorization act and the budget allocation bill, the conditions set for Georgia, which are set alongside at the level of Pakistan and Afghanistan, this is a message to the Georgian people, not just the political class, that the Americans have decided to trust the Georgian government. Now the people of Georgia must decide in the next elections whether they want to trust the Georgian government for another 4 years and extend this mandate. All we are seeing is, on the one hand, the Georgian Dream and Ivanishvili telling the West that "whatever you want me to do, I will do what I want and it will be the way I want it to be." On the other hand, this is a very orderly policy on the part of the West, to show that the West has the leverage and the will to make Georgia ultimately a strong democratic and progressive state.

J1 - Yes sir. Is it clear. And, I must ask you, Mr. Zaza. When such manipulations take place, which are really easy to verify, what impression does it form on the current Georgian government in Washington?

Posted Looed on the 31st July :-

Pt.4

J1 - "The Frontera issue has never been the cause and subject of an interstate dispute," the foreign minister said. What explanation would you give? And then the audience will inevitably be reminded of a recent letter from Congress and the Senate - Ted Cruz, Cornyn, Markwayne Mullin and Jodi Allington - when they addressed the Secretary of State and said that it was American companies that were being harassed and their interests are being oppressed in favor of Iran, China and Russia.

Zaza - That's their main concern. Despite Mr. Zalkaniani's statement, he is well aware that no high-level meeting have been held in the United States administration or Congress in recent years without mentioning Frontera case, simply because Frontera is a clear example of how other American companies are treated in the country, as it`s the largest American investment in Georgia. And the contrast to this is what greenhouse conditions are created for Russian, Chinese or Iranian companies, and all this Senator Cruz mentioned in his letter to the Secretary of State, which he sent with Cornyn. All of this is happening at the expense of the geopolitical and commercial interests of the United States. They want to drive out American interest and instead open the door wide open to Russian and Chinese interests. And all this, by the way, is well reflected in the last few bills. To be honest I could not understand. This is even included in the National Defense Authorization Act, where one of the requirements and conditions for the state to receive appropriate assistance is the pursuit of American business. The amendment was passed by 295 votes last week, and in a few days we will see even more published text and reflected situation with respect to American companies.

J1 - And, in your opinion, whether the fun was caused by the fact that we knew Senator Rish's amendment, which was very strict. Giorgi Rurua's name and surname were also written. Is it possible that this name was not included in this amendment, was that why the Georgian Dream was so happy?

GR - Maybe they lobbied for it as much as possible. I have information that in the United States, as well as in Brussels, Zalkaniani had arrived to somehow manage to avoid the issue of Giorgi Rurua in the European Parliament resolution, which by the way failed to achieve this success. Senator Rish's amendments have not been introduced, but the bill itself is essentially very critical. The same terms apply without actually embedded first and last names, but the principle is the same. But what is the main thing?

Posted Looed on the 31st July :-

Pt.2

GR (contd) - The freeze can only affect a tranche directly targeted at the Georgian government and not for democracy or the media or other development in general. And all that we have seen in Congress is slowly being reflected in the messages of the executive branch, since the legislature, together with the president, determines foreign policy. And now we see that the statements of these congressmen have been slowly translated into the policy of the executive branch, and the United States will watch with magnifying glass how the elections will be held in Georgia and what will happen to the courts in Georgia.

J1 - Is it clear. thank you very much. As expected the rank gradually increased. Mike Pompeo has already been involved in relations with the Georgian government and he considered it necessary to warn the Prime Minister by phone. Against this background, the government still uses some kind of tricks. Take your case, the example of Frontera. What is the purpose? While the Georgian Dream knows very well that information will flow quickly to both Washington and Houston, and in general the strategic partner is already in control of everything. What do you think we are dealing with?

Zaza - We are dealing with a unique phenomenon, when even the highest officials in the Georgian government believe that they can do everything with lies and tricks. Although we see on a daily basis that this method does not work. Something amazing happened. The Prime Minister of Georgia, who made a public statement last Thursday as if the government had decided not to terminate the contract with our company. Two things happened the next day: the State Department and the Georgian ambassador to the United States immediately began sending a message to the United States administration and Congress that "how noble is the Georgian government and what good conditions the government creates for American investment." And, on the other hand, the Ministry of Economy sent us a letter saying that if before we were threatened with expropriation of our project and property on a specific date, now they do not tell us this specific date and can do it any day from today. By the way, it is now easier for the viewers to understand why Prime Minister Gakharia was in such a hurry and made this public statement last Thursday. He knew very well that a telephone conversation with the Secretary of State was scheduled for yesterday, and one of the agenda was to harass and drive American investment out of the country, create a bad environment for American companies, and that is why he made a statement to the Washington DC politicians.

Posted Looed on the 31st July :-

Translation #25, Mtarvia with Zaza, from 12m mark, 29/07
Pt.1

J1 - The main political topic of the day is the messages from the United States. Mike Pompeo phone call, letters from Washington, Houston and we will talk about it with Giorgi Rukhadze and Zaza Mamulaishvili. Thank you very much. Before we begin the conversation, I would like to offer the viewer the statement made by Tea Tsulukiani today regarding the phone call made by Mike Pompeo.

Tea Tsulukiani, Minister of Justice of Georgia, (TT) - If we take only yesterday's telephone conversation between two people, against the background of this one contact and its content, of course, the speculations and statements of the opposition that the US is abandoning Georgia and the Georgian people and there is any kind of crack in this friendship and partnership becomes even more ridiculous. Even today, the opposition continues to fight against its own country, against its own people, when it makes various attempts to prevent Georgia from gaining support.

J1 - This was the statement of Tea Tsulukiani and the critical letters coming from Washington are addressed to the Georgian government, which did not fulfill its promises and there were initially separate messages to Georgia as a strategic partner and its government. What explanation would you give to today's statement of the Minister of Justice? Let`s start with you, Mr. Giorgi, and we will definitely hear your opinion as well (points to Zaza)

Giorgi Rukhadze, Media expert (GR) - Ms. Tea is right that the United States has not really left Georgia as a state and a Georgian people, but it is clear from all the steps we have seen over the past year that Washington's trust in Tbilisi and the Georgian government is completely diminished. And, all their subsequent steps are a confirmation that the US government no longer trusts the Georgian government. He is trying to turn Georgia into a bedrock so that he does not move and take the country there, which will ultimately hurt Georgia, the region and every citizen of Georgia. Now let`s start from the messages which we have received from Mike Pompeo. This was a clear message which was stating that Washington will not let Ivanishvili to falsificate the elections. The main message was in relation to the elections. Free and fair elections and equal conditions for all political entities or objects are the focus of this message. And the second issue is the court, that the Georgian government should be allowed to use the court for political purposes. It's about business, it's about the media, it's about political prisoners, and so on. Naturally, the messages from the Secretary of State were much more diplomatic than in Congress and the Senate. But I want to tell you that this is actually a mirror effect caused by the acts passed in Congress, we are talking about the Defense Authorization Act, we are talking about the Budget Appropriation Act.

Posted Blownitalready on the 31st July :-

Bedineishvili - Americans' anger does not arise in an empty space

Financier Giga Bedinaishvili talks about the reasons for the criticism of the Georgian government by American high-ranking officials in the " Cometer " TV program " Formula ".

"There are two reasons: a blow to the interests of Americans and the desire of Americans to increase prosperity in the country. For this, of course, it is important to improve the investment situation as a whole.

Georgian Dream politics and Bidzina Ivanishvili's actions threatened American businesses. "Naturally, the American establishment would have reacted to this from different angles - be it Congress or Mike Pompeo ," Bedineishvili said .

Bedineishvili says that the criticism of the Americans is directly related to the mood in Georgia and the main challenges of the country, which, according to him, the government of the Georgian Dream does not understand.

"I think the Georgian Dream does not appreciate and does not understand that the Americans are listening to the mood here. The anger of the Americans does not arise in an empty space. They see very well that one of the major challenges to Georgia is the economic situation and declining investment. "Something will help and the economy will develop somehow," Bedineishvili said .

On July 27, Congressmen wrote a letter to US Secretary of State Mike Pompeo about Georgia, stating that "Russian oligarch Ivanishvili" and the Georgian Dream government were expelling American businesses from the Georgian private sector in favor of Russian, Chinese and Iranian investments.

The congressmen demanded a meeting with Pompeo to agree on further steps to raise the issue of Georgian accountability.

July 27 pompeom telephone conversation with Prime Minister Gakharia judicial independence for further steps towards the called, which, he said, foreign investment is vital to the process.

Over the past year, a number of US congressmen and senators have written critical letters to the Georgian government over issues related to the Frontera and Anaklia consortium, as well as issues related to the electoral system and the judiciary.

https://formulanews.ge/News/34374

Posted Blownitalready on the 30th July :-

Politics
Senator Jim Risch: Salome Zourabichvili should pardon Mr. Rurua
Jim Risch, Chairman of the U.S. Senate Foreign Relations Committee, has responded to the verdict delivered against Giorgi Rurua, co-founder of the Mtavari TV. In response to a question asked by VOA's Georgian service, the Senator said the judiciary should not be used for political purposes.

"I'm very concerned about Mr Giorgi Rurua's verdict on the fictitious charges. The judiciary should never be used for political purposes.

Ahead of the elections, in the interests of depolarization of the political climate, Salome Zourabichvili should pardon Mr. Rurua, as she did in the cases of Giorgi Ugulava and Irakli Okruashvili.

I am very happy that necessary changes have been made to the electoral system of Georgia and I expect to see free and fair elections in October. However, the elections will be free and fair only if the political parties are able to act freely, without the fear of political persecution," the Senator was quoted as saying by VOA's Georgian service.

https://www.interpressnews.ge/en/article/108602-senator-jim-risch-salome-zourabichvili-should-pardon-mr-rurua

It is important that any message or statement coming from members of Congress be taken seriously, - US Ambassador to Georgia Kelly Degnan told reporters when commenting on the letter sent by six Congressmen to Mike Pompeo.

According to her, they are people who have been observing Georgia for years and care for its success.

"I had relations with both the ruling party and the opposition, and I want to say that Georgia has leaders committed to the best interests of the country and they are doing their best to help the country achieve success, prosperity, security and economic stability," Degnan said

https://www.interpressnews.ge/en/article/108603-us-ambassador-it-is-important-that-any-message-coming-from-members-of-congress-be-taken-seriously

MEP Andrius Kubilius: Will Georgian President step in and defend the spirit of 8/3 Agreement?

MEP Andrius Kubilius has responded to the verdict delivered against Giorgi Rurua, co-founder of Mtavari TV, saying that politicization of justice continues in Georgia.

“Secretary Pompeo cautioned agst. politicization of judicial and electoral processes. But politicization of justice continues: G. Rurua, investor into opposition TV channel, was sentenced today. Will Georgian President step in and defend the spirit of 8/3 Agreement?”, the MEP tweeted.

Giorgi Rurua was sentenced to 4 years in prison yesterday.

https://www.interpressnews.ge/en/article/108605-mep-andrius-kubilius-will-georgian-president-step-in-and-defend-the-spirit-of-83-agreement

Posted Looed on the 30th July :-

In that article I mention there is some detail on 'another case' which is about a company called Caucasus Online and some of
this will sound very familiar - These are comments made by a former US Deputy Sec. of State -

"As far as I’m concerned, Azertelecom, which owns Caucasus Online, is suing the government of Georgia at the international arbitration court in Stockholm. What more can you say about this?- Just to be clear, actually, the owner of the Caucasus Online, is company called Neqsol, an Azerbaijani holding company, which, in turn, is owner of the Azertelecom. Neqsol owns a bunch of other companies, and a bunch of things in the oil sector. It has business operations in the USA, UK, Turkey, Georgia and Azerbaijan. So, what happened was, Neqsol conducted negotiations or discussions with the Georgian government, beginning in 2018, when it decided it wanted to buy Caucasus Online as part of the a much larger digital hub, digital silkway project. And so, the seller, Kvicha Makatsaria, and the buyer – Neqsol, its representatives met with the prime minister Bakhtadze, met with the head of the Georgian National Communications Committee, met even with the head of Georgian Security services, and even with Mr. Ivanishvili, to inform them all what the plan was – and there were no objections, this was in 2018. Then, last August, 2019, suddenly, the Georgian national communications committee, said that it wanted to nullify the sale of Caucasus online to Neqsol, which had happened – Neqsol paid 61 million dollars for Caucasus Online. The GNCC said they wanted to nullify that sale because supposedly, Neqsol, as I understand, had not informed the Georgian National Communications Committee of the planned sale in the way the Committee wanted. As I just said, that is absolutely untrue, given that Neqsol had so many discussions with top Georgian officials, letting them know the plan, giving them updates, as the purchase was moving forward. So after a series of meetings with the GNCC and other Georgian officials, after last August, but there was no progress toward a solution, Neqsol then finally decided, “This is going nowhere, so we’re going to take our case to the international arbitration court in Stockholm. Because we see no other recourse, we see no other way that we can resolve this dispute.” Neqsol says’ “We paid this money, the transaction has happened, this is our asset.” So that’s a normal business practice, right? If two parties, even if one is a government, can’t come to an amicable solution about the business dispute, then
ok then, it’s often the case that you go to arbitration. So that’s what happening now, unfortunately."

Full interview can be found here -

https://www.interpressnews.ge/en/article/108423-matthew-bryza-worries-new-telecommunications-law-targets-caucasus-online-and-will-block-major-investments-that-could-make-georgia-the-strategic-center-of-a-digital-silk-road

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