The International Chamber of Commerce tribunal has delivered a significant ruling in the dispute between Steward Healthcare and the Maltese government over the terminated hospital concession. The tribunal concluded that the concession should have been terminated and determined that Malta received fair value for the services delivered. As a result, no damages were awarded to either party. This outcome is notable given the intense scrutiny and criticism surrounding the deal, including allegations of corruption and fraud.
The dispute arose after the Maltese government terminated the concession agreement, citing breaches of commercial agreements. Steward Healthcare subsequently filed for emergency arbitration, claiming that the government’s actions were unlawful. However, the tribunal’s decision validates the government’s position and brings an end to the compensation claims.
The Daphne Caruana Galizia Foundation had intervened in the arbitration process, submitting an amicus curiae brief. The Foundation asserted that its intervention contributed to the tribunal’s decision to terminate the concession. Despite this, the Foundation’s claims of government inaction and failure to pursue justice have been met with skepticism. Critics argue that the Foundation’s participation in the arbitration process without presenting evidence of alleged fraud undermines their assertions.
The controversy surrounding Steward’s operations in Malta has been ongoing, with allegations of corruption, bribery, and improper payments. Steward has consistently denied wrongdoing, but the company has faced intense scrutiny and legal challenges in both Malta and the US. The tribunal’s ruling brings some clarity to the situation, but the legacy of the dispute is likely to continue sparking debate and discussion in Malta and beyond.
