Modi isn’t soft on Ambanis: Corporate Espionage investigation is the proof
Advertisement
Advertisement
Ambani-Modi bond may be the talking point in Indian politics yet the BJP-led government in centre isn’t letting Reliance India Limited (RIL) take undue advantage in the corporate espionage case that shook the media just before the March budget. As per a news report by The Economic Times, the government has argued that allocation and pricing of a natural resource, which the government holds as a trustee of the people cannot be the subject matter of an internal arbitration.In an affidavit submitted to the Supreme Court, the Ministry of Petroleum & Natural Gas has instead asked the court to throw out RIL's petition to appoint a third arbitrator of independent nationality to decide on the pricing of natural gas.
As per the financial daily, the affidavit by the
RIL had appointed Sir
In its affidavit, the government has also said that if the matter was to be decided by arbitration then it has to be under Indian laws and the third arbitrator has to be an Indian citizen, a demand that RIL has staunchly resisted, through its reply filed through Parekh & Co.
Advertisement
Senior advocate Harish N Salve is representing RIL in court. RIL had demanded that the prices be increased from $ 4.2 mmbtu to $8.4 mmbtu during the UPA regime as per a formula fixed by a committee headed by C Rangarajan, economic advisor to the
However, after the new government came in, fresh guidelines came into effect from November 1, 2014. Under these guidelines the price was increased to $ 5.61 mmbtu. The government said the October 2014 guidelines would apply prospectively and uniformly to all sectors of the economy and allocation would also be as per the revised gas utilisation policy.
"... implementation of such government notified guidelines cannot be a subject matter of a private arbitration," the affidavit said. "The role of the respondent as the executive is to lay down policies and guidelines, which would best protect the interests of the public and are actions which ought not to be made subject to private arbitration proceedings."
"Any challenge if at all will essentially have to be made before the appropriate courts of India as the same shall have a bearing on the public at large...," it said.
"The role... of the executive of the union in framing policies for an entire sector of entities and the public at large cannot be challenged and decided under a private challenge and decided under a private contract which the (respondent - ministry) has entered into with a private party for the purposes of exploration, extraction and exploitation of natural resources.
Advertisement
The government also accused RIL of demanding implementation of the pricing of January 2014, under the threat of arbitration proceedings which was "mala fide".RIL in its affidavit claimed that it had always acted in consonance of government policies and fulfilled all its obligations under the production sharing arrangement. It had never used gas as its private property, it said. It had never allocated any gas to its own petrochemical plants and refineries, the company said.
(Image: Reuters)
RIL denied the suggestion that it had attempted to hold the national economy hostage to its benevolence.
Advertisement
- Rupee jumps 9 paise to 83.37 against US dollar in early trade
- Top 10 destinations to visit in India for nature and wildlife lovers in 2024
- People intolerant of other religions are more likely to reject science, study asserts
- 7 reasons why cucumber can be your summer weight loss friend
- 8 refreshing kulfis you must try this summer
- Nothing Phone (2a) blue edition launched
- JNK India IPO allotment date
- JioCinema New Plans
- Realme Narzo 70 Launched
- Apple Let Loose event
- Elon Musk Apology
- RIL cash flows
- Charlie Munger
- Feedbank IPO allotment
- Tata IPO allotment
- Most generous retirement plans
- Broadcom lays off
- Cibil Score vs Cibil Report
- Birla and Bajaj in top Richest
- Nestle Sept 2023 report
- India Equity Market