Al Areen last week said it was in talks with three global hotel chains to take over the running of the luxury hotel.
Bahrain is understood to have issued a travel ban against three employees of Banyan Tree Hotels and Resorts (BTHR), the latest twist in a legal row over the luxury Banyan Tree Desert Resort.
In a statement issued by Al Areen Holding Company (AAHC), owner of the luxury hotel, the group said Bahrain Public Prosecution had filed travel bans against three unnamed members of BTHR staff, and was “investigating several charges”.
A representative for BTHR was not immediately available for comment.
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State-linked Al Areen also accused Singapore-based BTHR, which previously managed the resort, of negligence, mismanagement and betrayal of trust.
“[This] led to a negative impact on the edifice of tourism in the Kingdom of Bahrain,” the statement said.
The firm has previously said the resort has run at a loss for three years.
Al Areen last week said it was in talks with three global hotel chains to take over the running of the luxury hotel, which has been renamed Al Areen Palace and Spa. It’s understood a new general manager, Khalid Anib, has been appointed.
The spat between the two firms first erupted in March, when Banyan Tree said it had filed a petition in the Kingdom to wind-up the Al Areen Desert Spa and Resorts – the owner of Banyan Tree Bahrain - to recover $1.12m allegedly owed to it under a hotel management agreement signed in March 2005, and a settlement agreement that both sides inked in November last year.
Al Areen hit back at the Singapore operator, accusing it of breach of contract and threatening legal action.
Both parties have since confirmed the termination of the management contract.
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