By John Lee. Kuwait’s Ministry of Finance and Kuwait Airways Corporation (KAC) are reported to have been coordinating efforts to receive $500 million from Iraqi Airways. The money is scheduled to be paid in one or two tranches over the next few months. According to Arab Times, an initial agreement for Iraq Airways to pay $300 […]
Tag Archives | Kuwait Airways
Iraqi Airways’ First Kuwait Flights since 1990
By John Lee. Reuters reports that Iraqi Airways will resume flights to Kuwait on Saturday for the first time since the invasion in 1990. In December, Kuwait Airways dropped legal cases against Iraqi Airways in return for compensation of $500 million. However, Kuwait’s state-run airline has not resumed flights to Iraq. Iraqi Airways flies to regional […]
Kuwait ratifies $500m Settlement with Iraqi Airways
By John Lee. Kuwait MPs have overwhelmingly ratified the $500-million settlement deal to end the 22-year-old dispute between Kuwaiti Airways Corporation (KAC) and Iraqi Airways. Iraqi Airways agreed in July to pay the compensation to KAC for damages caused by Saddam Hussein’s troops during the 1990-91 invasion of Kuwait. Kuwait says 10 of its planes as […]
Final Settlement for Kuwaiti Airways Case
By John Lee. The Emir of Kuwait has signed into law the financial settlement reached with Iraq regarding Kuwait Airways. Iraq’s Ministry of Foreign Affairs says that law firms in Britain have been told to drop all proceedings against Iraqi Airways and Iraqi properties. Under this settlement, Iraq will pay $500 million as final compensation to […]
Iraq “Won’t Pay Kuwait Before Airline Lawsuit Dropped”
By John Lee. According to the general secretary of the Iraqi Cabinet, Ali al-Allaq, Iraq will not pay compensation to Kuwait Airways for a debt dispute before Kuwait drops legal claims against Iraqi Airways. Under an agreement reached in March, the two countries decided that Kuwait would abandon all lawsuits against Iraqi Airways in return […]
Iraqi Cabinet Approves $500m to End Kuwait Airline Dispute
By John Lee. Iraq’s Cabinet has agreed to allocate $500 million to resolve the long-running dispute with Kuwait over the debts of Iraqi Airways, according to Bloomberg. The Cabinet asked parliament to approve the allocation of $300 million from the 2012 budget and another $200 million in 2013, , State Minister Ali al-Dabbagh said on […]
Iraq Resolves Long-Running Disputes With Kuwait
Iraq announced on Wednesday that it had finalised several agreements with Kuwait on long-running disputes, including the issue of of compensation to Kuwaiti Airways from Iraqi Airways. Under the deal, Iraq will pay Kuwait $300 million in cash and will invest another $200 million in a joint Iraqi-Kuwaiti airline venture, to settle a claim by […]
Iraq’s Assets Subject to Seizure?
The passing of control of the Development Fund for Iraq (DFI) to the Iraqi government may make the assets vulnerable to seizure. A lawyer for Kuwait Airways told Bloomberg in an interview that “the class of assets against which we can seek enforcement has expanded.” Christopher Gooding (pictured), a partner at London-based Fasken Martineau, said: […]
Iraqi Airways Sells Old Fleet
The state-owned Iraqi Airways is offering one of its old Boeing jetliners for sale as scrap as it continues to sell off the remnants of a decades-old fleet that was moved to neighbouring countries after Iraq’s 1990 invasion of Kuwait. The 737-200, parked for years at Queen Alia International Airport in Amman, Jordan, had been […]
Iraqi Airways to Appeal Asset Freeze
Bloomberg reports that Iraqi Airways will appeal a court order to freeze its bank accounts in Jordan following a lawsuit by Kuwait Airways. Karim al-Nuri, a spokesman for the Iraqi Minister of Transport, told the news agency: “We are preparing to appeal the Jordanian court order. Our appeal is based on the fact that Iraqi […]
Kuwait May Attempt to Seize Iraqi Assets
Kuwait Airways will seek compensation from Iraq for having allegedly stolen its aviation equipment and 10 aircrafts worth $1.2 billion during the first Gulf war, according to a report from Al-Arabiya. A lawyer from the Airline is quoted as telling Iraq Oil Report that the company will seek to enforce a 2006 English Supreme Court […]
Kuwait Airways to Pursue Iraqi Assets
According to a report from The National, lawyers for Kuwait Airways have vowed to seize international assets owned by the Iraqi government following a recent court ruling in its long-running dispute with Iraqi Airways. A UK court ruling has granted Kuwait Airways the right to file proceedings against the Iraqi government and ministries of transport […]