A company owned by Saudi
billionaire Prince Alwaleed bin Talal agreed to give back most
of the land it was allocated for a farming project in southern
Egypt, an Egyptian government spokesman said.
Egypt's public prosecutor has been investigating business
transactions, land deals and the finances of leading figures
under former president Hosni Mubarak since mass protests forced
him out of office on February 11.
The prosecutor said earlier this month the 1998 sale of land
to Alwaleed's Kingdom Agricultural Development Co (KADCO)
violated the law.
"Both parties agreed to the return to the Egyptian
government of 75,000 feddans out of a total of 100,000 feddans,"
the Agriculture Ministry spokesman said on Wednesday.
company will own 10,000 feddans while cultivating another 15,000
feddans that it doesn't manage but will own in the future."
KADCO, part of Alwaleed's Kingdom Holding Co,
bought 100,000 feddans (420 million square metres) at Toshka
soon after the project was begun.
The project would use water pumped from Egypt's Aswan High
Dam reservoir along a 50 km (30 mile) canal to irrigate
reclaimed agricultural land 60 km from the Sudanese border.
The ministry spokesman said the firm will not receive any
monetary compensation for the returned land, adding that the
agreement needed to be approved by Egypt's cabinet.
Kingdom denied on Saturday that its land in Toshka had been
confiscated, after Egypt's state news agency said Alwaleed had
given up a claim to the land.
The Toshka contract was signed on the Egyptian side by
former Agriculture Minister Youssef Wali, whose assets have been
frozen, according to the prosecutor.
The country's real estate sector had been hit by a string of
legal rows involving sales of state land to big local
developers, which include Talaat Moustafa, Palm Hills, and Egyptian Resorts.
Egypt's cabinet said in a statement on Wednesday it had
proposed forming a committee to propose solutions to legal
disputes involving investors or foreign governments.For all the latest business news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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