26 Apr 2003

Chinese bank sues Nauru for almost 13 million US dollars

9:01 am on 26 April 2003

Nauru is facing a lawsuit of 12 point 8 million US dollars.

The suit in the US District Court has been filed by the International Commercial Bank of China for non-payment of a loan and its interest.

The Bank has requested that the amounts be paid into the Registry of Court within three months or that mortgaged property, secured for the loan be sold.

Nauru was on the list of the world's richest nations on a per capita basis in the 1970s when it strip-mined its phosphate rich topsoils.

But it lost most its money in poor investments around the world

Most of its key institutions have no money to meet debts.