The Doraleh Multi-Purpose Port in Djibouti. The government of Djibouti in late February 2018 illegally seized control of the container terminal from DP World. Image Credit: AFP

Dubai: The High Court of England and Wales in London has upheld an injunction prohibiting the Port de Djibouti, a state-owned port company, from interfering with the management of a joint -venture company.

The Doraleh Container Terminal (DCT) in Djibouti is a joint venture between Dubai’s DP World and the African country’s government, and was managed by DP World-nominated directors.

In late February, Port de Djibouti (PDSA) illegally seized control of the venture from DP World.

“This is yet another in a series of rulings — all in favour of DP World — that demonstrate Djibouti’s continuing disregard for the rule of law,” a DP World spokesperson said.

“We underline our belief that companies intending to operate in such a country or already operating there need to seriously consider their dealings with this government in the face of such behaviour.”

The latest ruling by the High Court of England and Wales follows an August 31 injunction to prohibit the Port de Djibouti from appointing new directors or removing the DP World-nominated ones, and from acting as if the deal with DP World has been terminated.

After the August injunction, there was also a hearing on September 14, at which Port de Djibouti representatives failed to appear despite being notified. The Court ordered that the injunction would continue until it makes a further order.

On DP World’s application, the Court also extended the injunction to include any affiliate of Port de Djibouti after a decree to transfer ownership in the Terminal from the company to the government of Djibouti.