Court asks Natl Bank of Umm Al Qaiwain to halt $250M payment to Kuwait’s Global Investment House
Says payment halt pending September hearing; NBQ was earlier asked to pay $250 mln to Kuwait's Global
June 29, 2011 10:41 by p.deleon
National Bank of Umm Al Qaiwain (NBQ) said a Dubai court has halted a decision asking the Abu Dhabi-listed lender to pay $250 million to Kuwait’s Global Investment House pending a September hearing.
In April, Global won a ruling to get back $250 million from NBQ in addition to interest of $54.6 million.
“The court issued its decision to stop executing the sentence until a hearing about the appeal coming from NBQ that will take place on Tuesday, September 20,” the lender said in a bourse statement on Wednesday.
The $250 million was a deposit placed by Global with NBQ in August 2008 for a National Bank convertible bond issue. Global later cancelled the planned purchase and wanted the money back, but NBQ decided it was entitled to keep it. (Reporting by Dinesh Nair, Editing by Shaheen Pasha)