The Investment Complaints Unit at the Administrative Prosecution Authority succeeded in returning $5.9m to the Tourism Development Authority (TDA).
According to the unit’s statement, it discovered the existence of financial dues to TDA from a number of investors. The dues represent the remainder of the land’s value, bought by investors from TDA in the areas of Ain Sokhna, Red Sea, Aqaba, Ras Sedr, and the Northern Coast. The dues amount to $5.140m.
Through investigations, the unit also discovered the existence of irregularities in the investors’ documentation in the applicable technical requirements of TDA. These irregularities carry fines amounting to $850,000.
“The unit succeeded in settling the dispute between investors and TDA in that matter; investors repaid their due financial obligations and the fines due to technical irregularities,” according to the statement.
On 22 August, Head of the Administrative Prosecution Authority Judge Sameh Kamal issued decision number 507/2015, which includes the establishment of Investment Complaints Units to be responsible for the inspection and investigation of investors’ complaints against specialists in administrative bodies related to investment projects. The unit also investigates the complaints of regulatory authorities regarding facts that affect investment climate.
The unit has the privilege to cordially end disputes, “whenever the complaint’s reasons are removed” to support investment climate in accordance with the law.
“TDA provided extension periods for investors over five years, since 25 January 2011. In the case of no fulfilment, the investor will be informed of the need to proceed without prejudice to the set requirements”, an official at TDA said.
The authority preserves its financial sources and land portfolio by setting conditions with which investors are bound. The most stringent conditions include that investors pay their financial obligations in US Dollars and that a delay in payment carries a further fine of up to 10% of the value of the original monies due.