Orascom Development Holdings, maintaining that the claims against its executive chairman Samih Sawiris are "unfounded," also said that the filing of the appeal has led to the "suspension of sanctions and settlement negotiations have been initiated."

Sawiris was convicted last week by a Cairo court and sentenced to two years in prison on charges that his real estate and hotel development firm misrepresented its stake in Orascom Hotels & Development, a subsidiary. He has been free on bail.

Authorities also maintained that ODH breached an obligation to keep the subsidiary listed on the Egyptian stock exchange for three years from the date of the mandatory tender offer made in 2008. Sawiris was convicted as ODH's legal representative, and not in a personal capacity.

ODH has criticized the handling of the case, arguing that the public prosecutor failed to investigate the allegations before bringing the case to court. The company said the ruling came after just two hearings and that it was not allowed to plead its case in full.

Global Arab Network

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