Humans Mobile Ltd, a Singapore-based company that owns the Humans brand in Uzbekistan, has filed an international lawsuit against the government of the Central Asian country. The case has been accepted by the International Centre for Settlement of Investment Disputes (ICSID), part of the World Bank, and was officially registered on May 30, according to a press release from the claimant.
The company alleges that the Uzbek authorities violated provisions of the bilateral investment treaty between Singapore and Uzbekistan, signed on July 15, 2003.
Humans is seeking compensation for damages allegedly caused by actions of several state agencies. At the same time, the company affirmed its continued faith in Uzbekistan and its people, expressing admiration for the president’s efforts to modernize the economy, promote digitalization, and expand entrepreneurial freedoms. However, the company emphasized that some actors within the system undermine the push for a free market. Humans stated it supports Uzbekistan’s transformation based on the rule of law and free from bureaucratic arbitrariness.
Vladimir Dobrynin, CEO of Humans Group, described arbitration as a common mechanism for investors to defend their interests against unfair treatment in host countries.
“Our position is that the damage must be compensated and that this legal action should serve as a step toward reinforcing fair, predictable regulation and support for entrepreneurship,” Dobrynin stated.
According to Kun.uz, on May 8 of this year, Humans filed a complaint with Uzbekistan’s Competition Committee against the state-owned company Uztelecom, accusing it of violating antitrust regulations. Humans noted that its operations depend on Uztelecom’s infrastructure. Despite a general market trend toward lower internet prices, Uztelecom did not adjust its rates, which Humans interprets as abuse of market dominance.
As a result, Humans was forced to reduce its own prices to remain competitive, rendering its business in Uzbekistan unprofitable. The company also accrued debt to Uztelecom. Last year, Uztelecom reportedly demanded that Humans repay 532 billion Uzbek soms (approximately $41.4 million).
Humans Group is an international digital services ecosystem with offices in the U.S., Uzbekistan, Poland, Singapore, and Germany. The group includes Humans.uz, an app that integrates fintech services, mobile communications, grocery delivery from bazaars, and a marketplace.