Tongan companies give up riot-related insurance claims

Four Tongan companies have given up their long-running case against their insurance company over damage to their properties in the riots of November 2006.

The company, National Pacific Insurance, has refused to pay out because it believes the destruction during the riots was planned.

The plaintiffs were the Free Wesleyan Church of Tonga, Shoreline Group of Companies, Jones Group of Companies and Pacific Royale Hotel.

Matangi Tonga reports they decided to end the expensive legal battle after two weeks of what was supposed to be a month-long trial at the Supreme Court in Nuku'alofa.

In a statement, the four companies say they are convinced they had a just case against NPI.

But they say the evidence in court about the riots and the financial risks of continuing resulted in a decision to end the case on the basis that no party paid costs.

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