APM Terminals' takeover of the TCQ port in Guatemala in 2015 has already resulted in expenses of USD millions, a port that was unable to launch operations in time, and widespread speculations at the Maersk group port operator.

The port was part of the major transaction, priced at roughly USD 1 billion, made by then-CEO Kim Fejfer with Spain's Grup Maritim TCB. A deal that in addition to a series of ports in the Iberian peninsula also included owned ports in South and Central America, thus also TCQ in Guatemala.

But just a few weeks after the deal was signed, skeletons began to pour out of the closets.

Politicians bribed

In the spring of 2016, it emerged that the Spanish company, according to the local attorney general, had acquired the TCQ concession through bribing politicians and officials. APM Terminals apparently did not know anything about this, and the company did not find out about it when conducting its due diligence related to the deal with Spanish businessman Ángel Perez Maura, a central figure in the case.

The Danish port operator has already paid USD 43 million to Guatemala in order to avoid having the sale reversed after the bribery case was revealed and, subsequently, was subject to severe public criticism from authorities, unions and politicians in Guatemala. But APM Terminals has continuously maintained that it did not know about the bribes, which occurred before the acquisition.

December 5, 2017, a court in Guatemala has APM Terminals dealt new defeat in the protracted case, as the Sala Quinta del Tribunal de lo Contencioso Administrativo ruled that the concession arrangement made with the Spanish group in 2012 must be terminated.

In a comment to ShippingWatch, APM Terminals confirms the events and that the final decision now rests with the country's Supreme Court.

"We can confirm that the Guatemalan Attorney General has filed a request for the cancellation of the Usufruct Agreement, which provides the basis for the right to operate the terminal. The litigation is pending at the supreme court after the administrative courts in Guatemala ruled in favor of the state on formal grounds. As to the timing of the appeal outcome with the supreme court, there is no set timing and it can last several years," writes APM Terminal.

The Danish company discovered on April 15 2016 that there had been a dawn raid at TCQ, and that a member of the executive team had been arrested.

On June 2 that same year, a case was filed against TCQ's business by the Guatemala Attorney General. Already at that time, the state called for the original concession agreement to be terminated, as it was not the result of an actual and transparent tender, and ruled that congress subsequently had to approve the concession of the 34 hectare port area where APM Terminals' port is now located.

Local media El Periódico reports that this will not have any immediate impact on port operations, as the matter ultimately must be decided by the court. But the managing director of APM Terminals Quetzal, Gabriel Corrales, appealed the decision immediately, noting that the company now awaits a final decision.

Claims filed against seller

If the decision is confirmed, it could mean that the Guatemala company that originally owned the port until 2012, Empresa Portuaria Quetzal (EPQ), will once again take ownership of the major port, at least according to recent comments from the country's Attorney General, Víctor Taracena, to El Periódico.

As previously reported by ShippingWatch, APM Terminals has filed a lawsuit against seller Grup TCB Maritim in Madrid. And the Spanish businessman Ángel Perez Maura has filed a counterclaim against APM Terminals, as the Danish company, in relation to the investigation of the bribery case, handed over documents to the authorities, documents Maura deemed "personal."

APM Terminals says Friday that the company is detaining millions of euros otherwise part of payment for the acquisition.

"We have initiated an arbitration case against the former owner of Grup TCB Maritim in order to recover all damages incurred and to cover APM Terminals' costs in connection with our own investigations of the case.  In addition, we have maintained EUR 60 million of the purchase price in deposit and have received approval from the competent court to reject the former owner's requirement to release the funds," writes APM Terminals.

APM Terminals paid a billion dollars for Grup Maritim TCB in a deal that was presented on March 9 2015 – an announcement that came at a time when Maersk shareholders were calling for investments.

The takeover of Grup Maritim TCB added no less than 7 percent in volumes to APM Terminals' portfolio through several key ports, including Barcelona, Valencia and Castellon, as well as ports beyond Spain, such as Mexico, Guatemala, Colombia and Brazil.

English Edit: Daniel Logan Berg-Munch

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