Dubai property giant Nakheel ordered to pay former boss Chris O’Donnell $3 million in entitlements

Chris O’Donnell, the most successful Australian property executive in Dubai until his dramatic 2011 departure, has won $US3.25 million ($3 million) from Nakheel, the property giant he headed for five years.

The Dubai World Tribunal found in favour of the former Nakheel chief executive after he took action to recover his contractual entitlements, mainly relating to bonuses.

O’Donnell told the Arabian Business website he had been “entirely vindicated” by the tribunal.

"I am very pleased to have had the matter resolved and my claim upheld," O'Donnell advised.

“Whilst I have been entirely vindicated by the Dubai World Tribunal, I am naturally disappointed that, despite my best efforts at compromise the matter was not able to be resolved amicably without the need to take costly legal proceedings that vented Nakheel’s internal business in a public forum,” he added to Arabian Business.

He said the tribunal decision illustrated the quality of the process and the personnel of the Dubai International Financial Centre (DIFC) courts.

Working in Dubai after quitting Investa Property Group, he took action when Nakheel did not make the payments after he left the company last June.

Nakheel expanded dramatically in the Middle East and globally but was left exposed by the global financial crisis.

Last September it was reported that Nakheel had told creditors it had written down its real estate by about $US21 billion after property values in Dubai dropped by more than half.

Nakheel received a $US8.6 billion bailout from Dubai’s government, helping it avoid default, and it stopped work on many projects such as Dubai’s man-made “World” islands. One of the islands, Lebanon, is soon set to open as a beach club.

A Nakheel spokesman said: “We respect [the] court ruling. However, we firmly believe we have a strong case and if we had the right to appeal we would have done so.”

It’s been reported O’Donnell was exploring a number of opportunities to consult in Asia on real estate and company restructuring, including talks with companies looking to capitalise on China’s emergence as a sophisticated real estate player.