America Movil was ordered to pay $2.2 million to cover costs in a long-running dispute against Colombia, after claims its subsidiary Comcel was illegally expropriated by the nation were disregarded by an international arbitration institution.

In a statement, America Movil said the decision comes from an International Center for Settlement of Investment Disputes (ICSID) tribunal relating to a proceeding the operator initiated against the Colombian state in 2016 alleging it prevented Comcel freely using and selling assets after its concession contracts were terminated in 2013.

The operator explained the ICSID maintained “certain measures” taken by Colombia regarding Comcel’s closing “did not represent an expropriation of America Movil’ investments in Comcel”, in violation of a free trade agreement between Mexico and Colombia.

America Movil said it is “analysing the available legal actions against the award, including the potential request of its annulment” with the US District Court of the District of Columbia, where the arbitration body is based.

Information from the UN Conference on Trade and Development explained America Movil challenged moves including a court ruling in 2013 that some telecoms assets could revert to government control following the expiry or termination of licences and a “subsequent refusal of the government to recognise Comcel’s property rights” over the assets.

America Movil paid $1.1 billion to Colombia in 2017 relating to concession agreements.