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Article

25 May 2020

Author:
Joshua Kucera, Eurasianet (USA)

Georgian & US Govts. clash over arbitration against American oil company; workers not paid for months

U.S. lawmakers call to investigate Georgian government's Russian ties, 18 May 2020

After the Georgian government won a case in international arbitration against a scofflaw American oil company, the company’s supporters in Congress have accused the ruling party in Tbilisi of doing Russia’s bidding...

Four members of congress, including Senator Ted Cruz, wrote a letter on May 15 asking Secretary of State Mike Pompeo and Treasury Secretary Steven Mnuchin to investigate “Georgian ties to American hostile rivals and enemies, which are coming at the expense of our geostrategic and business interests.

In December, it emerged that the Georgian government was pursuing international arbitration against Frontera for failing to fulfill its contract obligations. In April, the government said that the arbitrators had ruled in its favor (though Frontera disputed this interpretation) and terminated the contract. The company, meanwhile, had not been paying workers for months.

Frontera and its supporters in Congress responded by accusing Tbilisi of opposing the company because it is American...

Three of the four signatories of the new letter also have taken campaign contributions from Frontera.