The International Center for Settlement of Investment Disputes (ICSID) issued a negative ruling against the Uruguayan State for the closure of the flag airline Pluna in 2012 due to economic insolvency.

The ICSID ruling addresses the claim of a Panamanian company that was among the shareholders of Pluna.

The ICSID ruled that Uruguay must pay the Panamanian company 80 million dollars.

The figure includes interest accrued since the airline’s closure. The document adds that there will be a fine of 500 thousand dollars for each month that the Uruguayan State fails to pay.

First Uruguayan Air Navigation Lines, better known as Pluna, was a national flag airline that operated for 75 years.

On July 5th, 2012, the board of directors reported in a press release that Pluna was indefinitely suspending its operations due to the economic-financial situation caused by the abrupt departure of the private investor, Leadgate Investment.

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