Legal Ethics

Arnold & Porter Must Give Pakistan Answers About Backup Tapes

April 12, 2019, 4:15 PM

Arnold & Porter Kaye Scholer LLP must provide Pakistan answers about evidence related to an $800 million in an arbitration award, the U.S. District Court for the District of Columbia said.

Arnold & Porter says it doesn’t posses nor has it ever had control of backup tapes of records for its client, Turkish power company Karkey Karadeniz Elektrik Uretim A.S. But the law firm may be able to answer Pakistan’s interrogatories, Judge Rosemary M. Collyer said.

Providing responses by May 10 won’t require burdensome document recovery, review, or production, the court said.

The extent to which any information about the backup tapes is privileged may be raised at another time, the court added.

Karkey received a contract from Pakistan to set up power generation units near Karachi in 2008. It lost the contract following a corruption investigation.

Karkey initiated arbitration proceedings against Pakistan in 2013 and won. The tribunal held Pakistan liable for $800 million under the Turkey-Pakistan bilateral investment treaty.

Pakistan hopes to have award annulled.

During discovery Karkey revealed that some of its electronic files had been archived to backup tapes, but they wouldn’t be accessible without undue burden.

Pakistan seeks information about custodians of the backup tapes, who has had access to them, and how they’ve been maintained, the court said.

GST LLP represented Pakistan. Arnold & Porter Kaye Scholer LLP represented itself.

The case is In re Application of The Islamic Republic of Pakistan for an Order Permitting Discovery Pursuant to 28 U.S.C. 1782 v. Arnold & Porter Kaye Scholer LLP, D.D.C., No. 18-103, 4/10/19.

To contact the reporter on this story: Daniel Seiden in Washington at dseiden@bloomberglaw.com

To contact the editors responsible for this story: Jo-el J. Meyer at jmeyer@bloomberglaw.com; Nicholas Datlowe at ndatlowe@bloomberglaw.com

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