BENGALURU: In a setback for US e-commerce giant Amazon, a two-judge bench of the Delhi high court lifted the status quo on Future Group’s deal with Reliance Industries (RIL).
Earlier, based on Amazon’s petition, a single-judge order had asked Future and all other authorities to maintain status quo on the Rs 24,731-crore Future-RIL deal. Amazon had moved the HC to enforce the emergency order from Singapore International Arbitration Centre (SIAC) and stop Future from taking any steps to complete the RIL deal.
The HC will hear the matter again later this month but noted that authorities like markets regulator Sebi and antitrust regulator Competition Commission of India (CCI) could not be restrained from “proceeding in accordance with law”. The single-judge bench is yet to give its final order on the original Amazon petition as well.
“The bench comprising Chief Justice D N Patel and Justice Jyoti Singh, has stayed the operation and effect of order passed by single judge, for the prima facie reason that the company is not a party to the shareholders agreement dated August 22, 2019, executed between Amazon, Future Coupons and the promoters of Future Retail, under which arbitration was initiated by Amazon in Singapore,” a filing to the BSE said. An Amazon India spokesperson did not comment till the time of going to the press.
Future Retail has filed an application with the National Company Law Tribunal (NCLT) seeking approval for its deal with RIL. Sebi has given a conditional nod to the deal, and CCI has cleared the deal.