Supreme Court Postpones Hearing on Chinese Contractor's Multi-Million Claim Against Chamelia Hydropower Project

The writ petition filed at the Supreme Court demanding the implementation of the decisions made by the Patan High Court and the Kathmandu District Court regarding the case filed by the Chinese contractor company, China Gezhouba Group and Pizdum Pingao JV, claiming millions in dues, has been placed on the 'not to be heard' list.

The case was scheduled for hearing in the bench of Chief Justice Prakashman Singh Raut and Justice Shrikanta Paudel. On Monday, the case, listed after seven habeas corpus writs, was placed on the 'not to be heard' list due to a lack of time.

Previously, on Chaitra 3, 2081, a single bench of Supreme Court Justice Balkrishna Dhakal had issued an interim order restraining the implementation of the decisions made in favor of the Chinese contractor company by the District Court and Patan High Court.

The Chinese contractor companies, China Gezhouba Group and Pizdum Pingao JV, had filed cases in various courts in Nepal and international arbitration, demanding over NPR 800 million in payment from the Nepal Electricity Authority (NEA). Both levels of courts in Nepal and international arbitration ruled in favor of these companies.

While the Nepal Electricity Authority was preparing to appeal against the decisions of both levels of courts and the international arbitration in the Supreme Court, the companies attempted to enforce the Patan High Court decision and the Kathmandu District Court decision, demanding payment and seeking to freeze the bank accounts of the NEA. However, at the last moment, when the concerned party from the Authority filed a case in the Supreme Court, the path for immediate payment and freezing of bank accounts was blocked.

Regarding the decision made in favor of Pizdum Pingao JV, the Supreme Court ordered: 'Do not implement the decision made by the arbitration tribunal on May 18, 2023, the decision made by Patan High Court upholding that decision, and the decision made by Patan High Court on 2081-5-30.'

Similarly, concerning the decision made in favor of China Gezhouba Group, the Supreme Court's interim order stated: 'It appears that the writ petition has been filed primarily raising the issue of the statute of limitations against the decision of the arbitration tribunal and Patan High Court, and given the existence of a situation where the petitioner would suffer irreparable loss if that decision is implemented before the final decision of this petition, do not implement the decision made by the arbitration tribunal on September 17, 2023 (dated 2081-3-16) and the case number 1399-5400 of the Kathmandu District Court until the final decision of the present petition.'