The construction company which built the Algarrobico hotel in Carboneras, a construction declared illegal and awaiting demolition, has accepted compensation offered by the government amounting to 100 million euros. The construction company has always maintained that it constructed the building in good faith with all the necessary licences and permissions from the relevant authorities. It has been estimated that the demolition of the building and restoration of the area to its original state could add more than another 100 million euros to the total cost to the taxpayer.
The environmental campaign group 'Salvemos Mojacar' has announced that it is considering appealing against the compensation awarded, claiming that the Audencia Nacional (Spanish high court) has stated that the construction company has no right to compensation and in the case of compensation being awarded it should be paid by those individuals in the ayuntamiento of Carboneras and the Junta de Andalucia who approved the plans. However the environmental organisation could be assuming a substantial risk if they go ahead with the appeal, as if they lose and have costs awarded against them the costs could be calculated as a percentage of the amount of compensation.
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