Report: Investor-state lawsuits worth €1.7 billion rage across Europe, could spiral dramatically under TTIP
Greece, Cyprus and Spain are facing claims from speculative investors worth more than €1.7 billion in a series of eurozone-related investor-state disputes that could spiral dramatically under a proposed EU-US trade deal known as TTIP, a new report says. The study ‘Profiting from Crisis’, is launched today (10 March) by campaigning group Corporate Europe Observatory and the Trans-National Institute, as the EU begins a public consultation on the regulatory implications of any agreement.
The paper finds that “a growing wave” of corporate lawsuits from investors burned in Europe’s recent economic crisis risks repeating the banking sector bail-out that precipitated it. Many of these litigants are “circling vultures” looking for short-term bargains and not long-term investments, the report claims. “At a time when ordinary people across Europe have been stripped of many basic social rights, it is perverse that the EU supports an international investment regime which provides VIP protection to largely speculative foreign investors,” said Cecilia Olivet, the report’s co-author.