Cabinet of Ministers of Uzbekistan adopted a resolution “On measures on completion of realization of the project on creation of modern hotel complex on the base of former hotel Chorsu” in July 2010.

The document said that Daegeon Global Co. Ltd undertook obligation to complete construction-assembly works on reconstruction and construction of the complex objects at least by 1 September 2012.

The Government of Uzbekistan, as an exemption, allowed to carry out reconstruction and construction of objects within the project on working designs with parallel projecting and approving design estimates till 1 January 2011.

The resolution said that if the agreement with the Korean side is abolished due to fault of investor, all funds, including ransoms, fines and penalty fee, as well as investments to the hotel complex and funds at the accounts of Daegeon Global Korea will be directed to the State Property Committee of Uzbekistan.

The document said that penalty fees, formed due to untimely implementation of investment obligations, will be abolished once Daegeon Global Co. Ltd commissions hotel complex.

Hotel complex Chorsu was realized to Daegeon Global Co. Ltd in line with the purchase contract from 28 September 2008. The hotel was sold for US$7 million. The Korean company undertook investment obligations for US$18 million.