An arbitration panel in the Dominican Republic ordered the country's government to pay a Spanish firm $1 million for breach of contract, Efe learned Monday.
The Dominican State Sugar Council, or CEA, did not comply with a September 2010 agreement to lease 6,000 hectares (14,814 acres) to Spain's Azucarera Porvenir for cultivation of sugarcane.
Handed down by a panel of the Santo Domingo Chamber of Commerce and Production, the text - to which Efe had access - states that the ruling is not subject to appeal, though CEA attorneys have already announced plans to challenge the decision.
The Spanish company filed a grievance with the Chamber of Commerce in March 2011, complaining that the CEA gave 50 percent of the promised acreage to Constructora Castelar, owned by two of the Dominican Republic's largest sugar producers.
Dominican soldiers, CEA security guards and Constructora Castelar employees prevented Azucarera Porvenir from working its land, the Spanish firm said.
The dispute led to several violent incidents that claimed the lives of a policeman and an Azucarera employee.
The arbitration panel held that Azucarera Porvenir is entitled to cultivate the entire 6,000 hectares and said the firm suffered significant economic damage from the CEA's actions. EFE