On March 18, the court ordered attachment of assets of Future Coupons Private Limited (FCL), FRL, Kishore Biyani and 10 other promoters.
In a recent development in the Amazon-Future Retail legal case, the Delhi High Court on Monday barred from pursuing its asset sale deal with Reliance Retail, upholding an emergency arbitral award prohibiting Future Retail Limited (FRL) .
A division bench of Chief Justice DN Patel and Justice Jasmeet Singh ordered attachment of assets of Future Coupons Private Limited (FCL), FRL, Kishore Biyani and 10 other promoters on the March 18 order of Justice JR Medha.
The division bench said that Justice Middha’s order will remain till the next date of hearing on 30 April. The order came on a petition by Future Retail.
On March 18, Justice Middha ruled that FRL and its promoters, including Mr. Biyani “knowingly and willfully”, violated an Emergency Arbitrator (EA) order to get FRL from its property sale deal with Reliance Retail Stopped moving forward.
He also instructed Mr. Biyani and 10 other promoters to appear before the court on the next date of hearing on 28 April. He additionally issued a show cause notice to all the promoters “Show cause why they were not detained in the civil jail” for not violating the Emergency Arbitrator Arbitrator Order for more than three months.
Justice Medha imposed a cost of ₹ 20 lakh on the Future Group which will be deposited in the Prime Minister’s Relief Fund for providing COVID-19 vaccine to senior citizens below the poverty line. He directed Future Group not to violate the interim order passed by the emergency arbitrator at the Singapore International Arbitration Center on October 25, 2020.
The feud between the US-based e-start giant Amazon and Future Retail was fiercely contested in various courts.
Amazon, which holds a 49% stake in FCL, is seeking to implement the EA Award on the basis that it invested FCP 1,43 L crore on FDL with the clear understanding that FRL is a partner for its retail business and its retail assets Will be the only vehicle. It will not be disbanded without consent and will never be given to any banned person, including the Mukesh Dhirubhai Ambani group.
FCL, which has a 9.82% stake in FRL, has objected to the enforcement of the EA award on various grounds, including that EA is not an arbitrator or arbitral tribunal.
FRL had also argued that Reliance is pursuing the logistics and warehousing business from the retail and wholesale business as well as the Future Group, as sales are declining to consider a lumpsum agreement of ₹ 24,713 crore.
.
Add Comment