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Future-RIL deal: Delhi HC stays single-judge bench order restraining Rs 24,713 crore deal

The Delhi High Court also stayed the order that asked for the attachment of assets of Biyani as well as others and directed them to appear in the court on April 28

twitter-logoBusinessToday.In | March 22, 2021 | Updated 13:41 IST
Future-RIL deal: Delhi HC stays single-judge bench order restraining Rs 24,713 crore deal
Delhi HC stays earlier order restraining deal

The Delhi High Court has stayed the single judge bench order restraining Future Retail Ltd and Reliance Retail from carrying forth the Rs 24,713 crore deal. The deal was objected to by US-based e-commerce giant Amazon that stated that Kishore Biyani-helmed company violated terms of the contract it had with Amazon by signing the RIL deal.

A division bench of Chief Justice D N Patel and Justice Jasmeet Singh also issued a notice to Amazon on Future Group's appeal challenging the single judge's March 18 order. The matter has now been listed for further hearing on April 30.

The Delhi High Court also stayed the order that asked for the attachment of assets of Biyani as well as others and directed them to appear in the court on April 28.

Justice JR Midha held on March 18 that Future Group wilfully violated Singapore Arbitrator's order and directed it not to take further action on the deal. The court asked them to show cause as to why they shouldn't be detained for three months in a civil prison for violating the emergency arbitrator's order. The court also imposed Rs 20 lakh fine on Future Group and its directors and said that the amount should be deposited in Prime Minister's Relief Fund to provide COVID-19 vaccines to senior citizens of Below Poverty Line (BPL) category.

Future Group announced the Rs 24,713 crore deal to sell its retail and wholesale assets to Reliance retail on August 29, 2020. However, Amazon, which had bought 49 per cent stake in Future Coupons in 2019 for Rs 1,500 crore said its deal with Future prevents Biyani's company from selling shares of Future Retail to RIL as it indirectly owned about 3.5 per cent stake in Future Retail. On October 25, 2020, the Singapore arbitration court had ruled in favour of Amazon and passed an interim order that put the Rs 24,713-crore Reliance Industries-Future deal on hold.

Also read: Future-RIL deal: Delhi HC halts Rs 24,713 crore acquisition; orders attachment of Biyani's assets

Also read: RIL-Future deal: Kishore Biyani's firm may soon appeal before Delhi HC division bench

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