Koc Tender Officially Cancelled
In the war between AKP and its alleged secularist conspiratorial nemesis Koc Group, the first blood was officially drawn today. In a Defense Procurement Committee meeting chaired by PM Erdogan, the US$1.5 billion MilGem tender (for the construction of four Navy vessels) have been canceled on account that Koc’s rivals were not allowed to make a bid—in fact one did.In other Koc related news, Taraf and Radikal newspapers claimed that the Ministry of Finance selected a 200 person strong inspection team to go through the books of three Koc energy subsidiaries, namely Tupras, OPET and Aygaz. The Ministry of Finance denied the number, but not the investigation. I’m still not sure whether this is an effort to intimidate Koc so that it doesn’t sponsor CHP during the March elections, or whether the final assault has started.My tentative theory is that AKP is aggressively collecting reasons to punish Koc heavily, but will not do so unless Gezi Parki people return in very large numbers to the street CHP gains on AKP in opinion polls. Nevertheless, it is fear to say that Turkey’s never-so-brilliant investment environment is now fairly risky.