The nearly two-decade long saga of ownership of the Grand Hotel

The International Center for the Resolution of Investment Disputes decided to return to MP Behgjet Pacolli the means he had given for the purchase of 40% of the shares in the "Grand" hotel in 2006 when it was privatized. The Minister of Justice, Albulena Haxhiu, has said that with the arbitration decision, ownership of Grandi is returned to the Republic. Economists consider that the hotel should be retendered

The government of Kosovo is obliged to give 6 million euros to the deputy of the chairman of AKR, Behgjet Pacolli.

The International Center for the Resolution of Investment Disputes has made a decision a few days ago to return to Pacolli the means he gave for the purchase of 40 percent of the shares in the Grand Hotel in 2006.

While in the summer of 2012, the Privatization Agency took back ownership of the hotel.

Pacolli, in May 2017, requested in arbitration to return the funds he had given him for the purchase of Grand's shares.

Regarding the arbitration decision, the Minister of Justice, Albulena Haxhiu, said that it proves that the Hotel remains in public ownership.

also Arberi 1 Tues 2025 Haxhiu: There are corrupt elements in Pacolli's case for the "Grandin" hotel

"The Republic of Kosovo, according to the decision of the International Center for Settlement of Investment Disputes, has found that there is no premise, evidence or theory that would enable Behgjet Pacolli to own the Grand. The only thing for which the Republic of Kosovo is obligated is the return of the monetary value that Pacolli had given to AKP in the name of privatization. Although he was not a party to the proceedings, AKP had accepted his means. We are now forced to return these," Haxhiu wrote on Saturday.

Pacolli reacted to that on Sunday, saying that he did not ask for the ownership of the hotel, but only for the return of the money.

"The minister knows very well that no one in this process has requested the facility from you at any time. You read this in the previous post.  "Since the beginning of the process, 'Mabco' has always asked for the return of its funds, which were illegally appropriated and nothing else," wrote Pacolli on Sunday.

Minister Haxhiu has also been criticized by opponents from the opposition, saying that she did not show that the state lost this case, but praised that the ownership of the hotel remained with the state.

And in the concept document for the establishment of the Sovereign Fund, the Kurti Government envisioned the Grand Hotel to be part of this institution.

also Arberi 4 January 2025 Kosovo will return Pacolli the payment for "Grandi"

However, the professor of economics, Fidan Qerimi, says that a profitable solution for the state would be the retendering of the Grand Hotel, and not its management by the state.

"Even if this asset had been given for free, it would generate the income that we will be able to sell in this period of time. I think that every day lost, without privatization, is a loss for the state itself", said Qerimi.

Syla emphasized that the Sovereign Fund cannot effectively manage the hotel.

"Also, we have a lot of bureaucracy in the management of public companies. If we create another link in that bureaucracy, we are only adding to it and complicating decision-making. I think that the Sovereign Fund is good that it has not been operationalized and this idea should be completely extinguished", he added.

also Arberi 9 Tues 2025 The ICSID ruling states that a bribe was demanded for Grandi.

The Grand Hotel was built in 1978. Until the war it was a social property.

After the war, its management passed to the Kosovo Agency for Trust until 2006, when it was privatized by Unio-Commerce. But it was never revitalized due to the ownership dispute.