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The Employment Appeal Tribunal upheld a finding that the Kuwait Investment Authority enjoys state immunity from claims brought by its former chief executive in London, according to a judgment handed down by Mr Justice Coppel. Mr Al-Ateeqi, who served as CEO of the Kuwait Investment Office, alleged detriment for making protected disclosures and unfair dismissal. The tribunal determined that both his appointment to and removal from the post were exercises of sovereign authority given his concurrent diplomatic status as a financial attaché.
Mr Al-Ateeqi’s role at the head of the KIO, the London arm of the KIA responsible for managing the Gulf state’s sovereign wealth, carried with it privileges and immunities recognised by the UK Foreign Commonwealth and Development Office, the judgment noted. The EAT found that these diplomatic functions could not be separated from his commercial responsibilities at the investment office. This inseparability formed a central plank in the decision to grant immunity under section 14 of the State Immunity Act 1978.
The original Employment Tribunal ruling by Employment Judge Brown in July 2024 had similarly concluded that the KIA qualified as a separate entity distinct from the Kuwaiti government yet still entitled to immunity for sovereign acts, according to the EAT decision. Counsel for Mr Al-Ateeqi, Alison Macdonald KC, had argued against the immunity but the appeal was dismissed in full. The cross-appeal by the KIA was also dismissed as it did not arise following the main ruling.
In addition to the core finding, Mr Justice Coppel observed that the KIA’s broader function of managing Kuwait’s sovereign wealth funds and state reserves itself amounts to an exercise of sovereign authority, the judgment stated. This obiter comment could influence future disputes involving sovereign wealth funds operating in the United Kingdom. The KIO has previously featured in related litigation concerning diplomatic premises and staff immunities.
Claire Darwin KC, instructed by Baker McKenzie, represented the Kuwait Investment Authority throughout the proceedings and succeeded in upholding the immunity defence at both tribunal levels, a Devereux Chambers announcement confirmed. The case highlights the intersection between diplomatic status and executive roles in state-owned investment vehicles. Similar issues have arisen in prior cases involving Kuwaiti entities in the UK.
The Kuwait Investment Authority, founded in 1960 as one of the first sovereign wealth funds, oversees assets estimated by the Sovereign Wealth Fund Institute to exceed 700 billion dollars drawn primarily from the country’s oil revenues. Publicly available filings and reports place the fund among the world’s largest institutional investors with holdings spanning equities, real estate and alternative assets globally. The London office has operated for decades as a key outpost for the authority’s international investment strategy.
