CAO Cases

Arne Hoel, The World Bank

Middle East & North Africa

Egypt / Egyptian Indian Polyester Company - Sokhna-02/India

Complainant
Former worker
Date Filed
August 20, 2017
Concerns
Labor- unpaid wages
Case Status
Closed
 

Synopsis

 
Project Overview

The IFC project with the Egyptian Indian Polyester Company (EIPET) comprises the establishment of a 420,000 tons per annum greenfield Polyethylene Terephthalate (PET) resin plant in the Eldorado Integrated Development and Free Zone S.A.E. in Ain Sokhna, Egypt.  EIPET is a joint venture between South Asian Petrochem Limited (SAPL), an Indian based manufacturer of PET which merged with its holding company Dhunseri Tea & Industries, and the Egyptian Petrochemical Holding Company (Echem), an agency of the Government of Egypt. IFC’s commitment to the project is $35 million A Loan.


Complaint

In August 2017, CAO received a complaint from a former worker of EIPET raising concerns about unpaid wages and the company’s obligations to fulfill the terms of his consultancy contract, particularly with regards to due notice and termination. 
 

CAO Action

CAO found the complaint eligible for further assessment in October 2017, and initiated its assessment. During CAO’s assessment of the complaint, the parties agreed to engage in a dialogue process to address the issues. CAO Assessment Report is available under “View Documents” below. 

 

As a result of CAO’s dispute resolution process, the parties reached an agreement in July 2018 to address the issues of concern raised in the complaint. The agreement has been kept confidential at the parties’ request. CAO monitored the full implementation of the agreement. 


Status

Upon completion of the monitoring phase, CAO issued a conclusion report in January 2019 which summarizes the dispute resolution process and marks the closure of the case. See “View Documents” for documents related to this case.   



Status as of January 15, 2019.

Project information

Institution
IFC
Project Name & Number
Egyptian Indian Polyester Company – Sokhna 28878
Department
Global Manufacturing & Services
Company
Egyptian Indian Polyester Company SAE
Sector
Plastics & Rubber
Region
Middle East & North Africa
Country
Egypt
Environmental Category
B
Commitment
$35 million A Loan

Case Tracker

Ombudsman

  • Eligible: Completed
  • Assessment Period: Completed
  • Facilitating Settlement: Completed
  • Monitoring/Close-out: Closed

Compliance