(DP World – Dubai Ports World – is a multinational logistics company employing over 50,000 people based in Dubai, specializing in cargo logistics, port terminal operations, and maritime services).
In August this year DP World were accused of breach of contract in their management of the same Bosaso Port.
“(The)Puntland President asked for the Parliament to leave to the executive branch all matters concerning the agreement between DP World and Puntland State. The agreement was passed by the Parliament, and it is legally binding. We are going to put the request to a vote” said Abdirashid Yusuf Jibril, the Speaker of the Puntland Parliament.
Forty Nine MPs attended the session.
Thirty nine MPs voted in favour of the request, and 11 MPs abstained on the request.
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Last week, Puntland President Said A. Deni returned to Puntland from a visit to the United Arab Emirates where he had met DP World executives about delayed implementation of the agreement.
Contact law experts believe that DP World has breached the contract when it ceased to be a publicly traded company to enable the UAE government to settle debts it owed.
“A private equity company may buy interests of DP World, and this will have an impact on the agreement with Puntland State of Somalia” says a contracts law expert in London.
In August Abdiasis Said Ga’amey, an MP, accused DP World of a breach of contract.
“By treating the DP World Agreement to run Bosaso Port as a matter solely for the executive, Puntland parliamentarians have denied themselves the right to debate the agreement. The role of (the) Puntland Parliament to rubber-stamp proposals from the presidency has deepened” said Mohamud Aden, a retired civil servant.
This article first appeared in the © Puntland Post, 2020 and is republished with permission
