Sources said the government paid millions of dollars to the firm for obtaining reasonable support in the US administration against two tasks ie BIT and RoZs but the firm failed to meet the target. "Quinn and Gillespie obtained four or five letters from senators which Pakistani diplomats can do easily," the sources added.
Now, Pakistan has hired a Texas-based firm, Hunton and Williams LLP, to speedily complete the task, which is already too late. The firm practices in the areas of general civil trial practice in all state and federal courts, securities, probate, real estate, intellectual property, environmental, labour, employee benefits, antitrust and oil and gas law.
Asked how much the government is expected to pay to the new firm, the sources said it would also be in millions of dollars. Sources said that a team of Hunton and Williams met with the officials of ministries concerned, including the commerce ministry to devise a comprehensive strategy to secure enough support for BIT and RoZs.
"Our meeting with the team members was very encouraging as we discussed all the hurdles in details and new strategy," the sources maintained. They said some of the demands of US administration are difficult for Pakistan to accept and remove these hurdles, Pakistan decided to hire new lobbying firm in consultation with the Pakistan embassy in Washington.
They said the US is of the view that the investment made by the American companies in 90s should also be covered in the BIT whereas Pakistan argues that it should be treated separately as it was made before agreement.
Another demand made by the US was that any dispute between Pakistani and American companies would be dealt by the US courts, but Pakistan was of the view that the issues should be settled in accordance with international laws, the sources added.
However, Pakistan has agreed to pay compensation to the American companies in case of intellectual property rights piracy which was a longstanding demand of the US, besides tightening rules in the country, the sources maintained. According to sources, the US was also insisting on including a clause in the treaty that Pakistan's National Assembly, Senate, Executive and Judiciary would not take expropriate action against any American company.
Though, Pakistan has informed the Americans that these are sovereign institutions and they have no such track record, the issue is yet alive and may be discussed in Thursday's video conference, the sources added. Sources said that both parties have narrowed down differences on a few points while several other issues were yet to be resolved before reaching a formal agreement.
They said President Bush had announced that US establishment of RoZs during his last visit to Pakistan, but this had not been materialised yet due to one or the other reasons.