Tecom Investments yesterday said its dispute with Capital Partners is under arbitration, after the US private equity firm claimed it had been shut down without warning.
"The arbitration is continuing and is not yet completed. Both parties to the arbitration are bound to observe confidentiality under the rules of the Dubai International Arbitration Centre, which govern this proceeding.
"Accordingly Tecom Investments is not in a position to comment," a spokesperson said.
Tecom is in dispute with Capital Partners over ownership of a 38-acre plot of land where the firm had agreed to build a $1.3 billion (Dh4.77bn) development, according to a Reuters report.
Capital Partners Managing Director Jonathan Wride told the news wire he had not been warned of the decision to deregister his firm, nor allowed to object or even sell off company assets. In August 2007, Capital Partners filed a claim against Tecom for misrepresentation and breach of contract.