Swiss court dismisses appeal against SSIF; case closed

AMMAN — The Federal Supreme Court of Switzerland has turned down an appeal from a Belize-registered firm, KRIC, against Jordan’s Social Security Investment Fund (SSIF), according to a Social Security Corporation statement released Saturday.

KRIC, registered in the Central American country, initially filed a lawsuit at the International Court of Arbitration (ICA) in Zurich, Switzerland, in 2013, alleging that it had bought the SSIF’s stake in the Housing Bank for Trade and Finance — Jordan’s second largest bank — and argued that the SSIF should pay over JD93 million for failing to execute the alleged agreement. 

SSIF Executive Chairperson Suhair Al-Ali said in Saturday’s statement that they received from their counsellors news of the court's final “unappealable” ruling on Friday.

The court's ruling ends the case and confirms the agreement was fabricated by KRIC, Al-Ali said, adding that the firm's demands have all been rejected and it will now be responsible for all legal costs.

The executive chairperson thanked the concerned authorities and media that dealt with the case, which had been under public debate since 2013. 

In what was dubbed the “Housing Bank Stakes” case , KRIC’s original case was dismissed in 2015,but the KRIC filed a new case with the ICA, calling for the voiding of the arbitration court’s previous decision.

“The arbitrator [ICA] had no doubt that the stake sale agreement was fake, that the fund was a victim of a counterfeit attempt and that the plaintiff [KRIC] filed the lawsuit with ill intent,” SSIF officials said at the time. 

The ICA acts as a neutral mediator in international commercial disputes, and is an arm of the International Chamber of Commerce in Switzerland.

Belize, a former British colony once known as British Honduras, is a popular destination to register global offshore businesses, which is seen by many as a way to avoid paying taxes.