The Vasiliko LNG affair has become a flashpoint in Cypriot politics, with former auditor-general Odysseas Michaelides accusing a current MP candidate of exploiting the situation for personal gain.
- The Vasiliko LNG affair has become a flashpoint in Cypriot politics, with former auditor-general Odysseas Michaelides accusing a current MP candidate of exploiting the situation for personal gain.
This heated exchange unfolded over the weekend, igniting from a report by news outlet Offsite, which suggested that Michaelides, during his tenure as auditor-general, was deeply involved in the process leading to the awarding of the LNG terminal contract to a Chinese consortium.
As tensions escalated, Michaelides took to social media to condemn the previous administration of Nicos Anastasiades, charging that his warnings against the contract award in 2019 were ignored. He pointed to a pivotal meeting at the presidential palace in November 2019 where then-president Anastasiades dismissed concerns about the consortium.
Michaelides did not hold back in his criticism, calling out former finance minister Harris Georgiades and former energy minister Giorgos Lakkotrypis for their roles in the decision to grant the contract. His accusations extended to the legal consultants involved in the project, particularly mentioning the law firm of Giorgos Pamboridis.
“No doubt the lawyers will gain from the arbitration, with Giorgos Pamboridis top of the list, whose fees exceed €2 million…” Michaelides stated, emphasising that the public is the ultimate loser in this scenario, left with a staggering €1 billion price tag and high electricity costs.
In a swift rebuttal, Pamboridis, who is now running for an MP seat on the Disy ticket, dismissed Michaelides’ comments as mere mudslinging amidst the election campaign. Pamboridis confirmed that his firm represents Cyprus in the ongoing arbitration proceedings in London and validated the legal fees mentioned by Michaelides.
Pamboridis responded on social media, asserting, “Indeed, since 2022 when we undertook this case, I as well as at least nine other lawyers from our office dedicated countless hours to do our duty.” He defended the fees as standard for arbitration work, suggesting that anyone questioning their validity should consult their own legal advisers.
The ongoing arbitration is a significant issue for Cyprus as it grapples with the fallout of the Vasiliko project, which has been stalled since the Chinese contractor withdrew in July 2024, leaving the project in a precarious state. As of January 2025, the state reported legal expenses related to the arbitration amounting to €4.7 million paid to Pamboridis LLC alone, alongside substantial payments to other consulting firms involved in the case.
