Judgment Debt Default: U.S. court awards $111 million to Trafigura against Ghana
Published:
3 months ago
Source:
GhanaWeb
The Ghanaian government has been ordered to pay $111,493,828.92 along with obligatory post-judgment interest by a District of Columbia Court in the United States, which granted a Motion for Default Judgment in favor of Ghana Power Generation Company (GPGC). Ghana disregarded a previous tribunal verdict from the United Kingdom, which led to this ruling. After Ghana terminated a power purchase deal with Ghana Power Generation Company (GPGC) on February 18, 2018, a UK tribunal found on January 26, 2021, in its Final Award, that Ghana had broken its contractual duties. According to Ghana, the contract was terminated because the foreign power company did not fulfill certain contractual obligations. The tribunal, however, disapproved and granted GPGC $134,348,661 in damages, which were computed using the purchase agreement's Early Termination Payment formula.