Shoreline Mall plc has provided an update on the ongoing legal dispute involving its sister company, Shoreline Contracting Limited (SCL), and Koray Global Malta Limited (KGML).

In a company announcement issued on Tuesday (yesterday), the company stated that the court has partially upheld its request to reduce the amount of a garnishee order that had been placed as part of precautionary warrants filed by KGML. The Court also made the continued validity of the warrant subject to specific conditions.

Shoreline Mall confirmed that it remains determined to defend itself against what it described as “unfounded and vexatious actions” brought by KGML, both in Maltese courts and through arbitration proceedings. At the same time, SCL is continuing to pursue legal action against KGML for the recovery of significant amounts, including:

• €9.4 million in overpayments, advance payments, and payments made to subcontractors on behalf of KGML.
• €25.88 million in damages and penalties for delays.

In June 2025, SCL terminated its contract with KGML after what it said were serious breaches of contractual obligations, including substantial delays in completing works at the Shoreline Residence complex. Following the termination, both sides filed arbitration claims against each other, and KGML also issued precautionary warrants, including a garnishee order against Shoreline Mall plc, despite the latter not being a party to the original contract.

The company has consistently stated that it and other entities within the Shoreline Group (apart from SCL) were never party to the works contract and therefore have no contractual obligations towards KGML.

KORAY Construction Company is one of Turkey’s leading construction companies and has a well deserved reputation for being Turkey’s most experienced general contractor of prestigious building projects.

With finished projects in Turkey, Jordan, Saudi Arabia, Kazakhstan and the Russian Federation, KORAY’s scope of work ranges from architectural design and turnkey construction, with special emphasis on turnkey construction of high-rise office buildings, commercial centers, headquarter buildings, 5 star hotels, university campuses and remodelling/renovation of bank branches according to changing corporate images.