CAIRO, Sept 16 (Aswat Masriya) – Orascom Construction Industries (OCI), run by billionaire construction tycoon Nassef Sawiris, stressed on Tuesday that it is resolving its conflict with Egypt's Tax Authority in front of the authority's Independent Appeals Committee.

An Egyptian misdemeanour court upheld on Sunday a court order sentencing Sawiris to three years in prison and a 50 million Egyptian pound-fine for refraining from paying due cheques to the Tax Authority.

OCI said that the committee for the Tax Authority held its final session over the authority's tax dispute with OCI's subsidiary Orascom Construction Industries on Tuesday. In a statement, OCI added that the committee will issue its final ruling regarding the case on October 28.

OCI had reached a settlement agreement with the Tax Authority last year regarding the sales of its cement sector in 2007. The company was asked to pay 7.1 billion Egyptian pounds in 10 installments, as per the agreement.

OCI only paid 2.5 billion Egyptian pounds, refraining from paying the remainder of the sum.

Ashraf al-Arabi, former chairman of the Tax Authority, said that tax disputes are usually resolved at the Independent Appeals Committee before being referred to court. He added that while the committee is yet to resolve OCI's dispute with the Tax Authority, OCI must appeal Sunday's prison sentence in court.

Sawiris had appealed the initial court verdict sentencing him to prison in July. He nevertheless failed to show up in court on Sunday, reported Reuters.

The prison sentence can now be carried out, a judicial source told Reuters on condition of anonymity. It can be halted if the defendant or his lawyer issue another appeal.

OCI sold its cement sector to French cement giant Lafarge for 12 billion U.S. dollars in 2007.

(1 US dollar = 7.1500 Egyptian pound)