Overview
- The nine-judge Supreme Court struck down the 1997 law, its addenda, and the 2021 extension that underpinned Panama Ports Company’s concession, following a comptroller audit alleging unpaid fees, accounting errors, and other irregularities.
- The court’s brief notice set no immediate procedure, but President José Raúl Mulino said operations will continue and that APM Terminals will assume temporary control after the ruling takes effect, with no layoffs expected.
- China’s Foreign Ministry vowed to take all necessary measures to protect its companies’ rights, and Hong Kong authorities condemned what they called coercive treatment of Hong Kong firms.
- Panama Ports Company called the ruling legally unfounded, cited more than $1.8 billion invested in the terminals, and reserved the right to pursue domestic and international legal action.
- The annulment clouds CK Hutchison’s planned $23 billion sale of global port assets to a BlackRock-led consortium, a deal already stalled by Chinese objections.