News Karnataka
Thursday, December 09 2021


Arbitral award in favour of Reliance Infra upheld by SC

Arbitral award in favour of Reliance Infra upheld by SC

New Delhi: In a major victory, Reliance Infrastructure Ltd. on Thursday won a four-year battle for control of money from an arbitral award, as the Supreme Court upheld an arbitral award that went in its favour.

A bench headed by Justice L. Nageswara Rao dismissed a plea by DMRC. The bench upheld the 2017 arbitration award in favour of debt-laden Reliance Group, ADAG, led by Anil Ambani. The amount over Rs 4,600 crore, including interest, will help the beleaguered group to repay its debt. A detailed order on the arbitral award will be uploaded on the top court website later in the day.

The Reliance’s lawyers had contended before the top court that the firm will use the money to pay lenders.

In 2008, Reliance Infrastructure’s unit had entered into a contract with Delhi Metro Rail Corporation (DMRC) for running the city rail project till 2038.

In 2012, Ambani’s firm stopped operating the capital’s airport metro project, due to disputes over fee and operation. The firm initiated an arbitration case against the DMRC alleging violation of contract and sought a termination fee.

Reliance will use the money to pay lenders, the company’s lawyers had said during the case hearings, following which the top court had barred banks from marking the company’s accounts as non-performing assets.

The arbitral award in the case also lifts the court’s restriction on lenders.

Support NewsKarnataka's quality independent journalism with a small contribution.

How useful was this post?

Click on a star to rate it!

Average rating 0 / 5. Vote count: 0

No votes so far! Be the first to rate this post.

Leave a Reply

Your email address will not be published. Required fields are marked *

Visit 7Jackpots and find the best online casinos in India! Play the most popular casino games for real money!

Find the best odds at 10Cric and ipl betting 2021! Signup today and get up to a 100% deposit bonus.

Subscribe Newsletter

Get latest news karnataka updates on your email.

error: Content is protected !!