Panama Ports Company accuses Panama govt of illegal takeover and rule-of-law violations

Panama Ports Company claims the Panamanian government illegally seized control of the Balboa and Cristóbal ports last week, invaded private facilities, and disregarded legal protections, undermining investor confidence.

Panama Ports Company (PPC) issued a strong statement accusing the Republic of Panama of breaching the rule of law through forceful actions against its concession.

The company said the government carried out an unnotified intrusion into a private storage facility on February 26, seizing proprietary and legally privileged materials related to ongoing court cases.

PPC described the takeover of the two major ports as poorly coordinated, nontransparent, and ultimately unsuccessful, with daily government statements dismissed as misinformation to cover operational failures.

The company alleged the state had planned and coordinated the removal of PPC for at least a year, manipulated legal proceedings, acted on an unpublished court ruling without proper notification, and issued an extreme executive decree for occupation and expropriation not supported by the Supreme Court.

According to PPC, authorities halted terminal operations early this week, invaded facilities, threatened local employees with criminal prosecution, disrupted port traffic, and transferred control of the terminals to third-party competitors along with proprietary information.

The company maintained that these steps violate Panama's constitutional, contractual, and international obligations on investment protection, due process, and legal security.

PPC and its investors have reserved all rights and intend to pursue remedies through neutral international forums.