Privinvest's Appeal in Mozambique's Tuna Bond Scandal Gains Momentum

Privinvest, a shipbuilder, has been allowed to appeal against Mozambique's lawsuit win in the 'tuna bond' scandal case. Mozambique had sued Privinvest for allegedly paying bribes to secure project terms. The appeal, granted by London's Court of Appeal, follows a previous refusal from the High Court.

Emirati-Lebanese shipbuilder Privinvest has been granted the opportunity to appeal against a previous court ruling favoring Mozambique in the 'tuna bond' scandal. This follows claims by Mozambique that Privinvest, along with its late owner Iskandar Safa, bribed officials to obtain favorable terms on certain projects.

The London High Court initially ruled Mozambique should receive over $825 million from Privinvest and Iskandar Safa, in addition to a $1.5 billion indemnity, offset by $420 million already recovered. Despite an initial refusal, the Court of Appeal now sees potential merit in Privinvest's appeal.

No date has been set for the appeal. The scandal, which emerged in 2016, led to financial instability in Mozambique after it was revealed that substantial funds meant for state-backed projects had vanished, causing major donors to withdraw support.

(With inputs from agencies.)