Future says to stop the process of selling assets

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“We can’t allow you to do anything in the meantime. We are very clear on this. Where is the issue of your lawsuits and SLP (special leave requests), and in the meantime, you keep moving forward? What is left then? We hope you don’t continue, ”a tribunal, headed by India’s Chief Justice NV Ramana, told lawyers representing Future Group.

“If you keep doing everything, what’s left to decide in the end? If the meetings, etc., continue, there’s nothing left. On the other hand, you can save your time and continue to file appeals, lawsuits, etc. Said the court, which also included judges AS Bopanna and Hima Kohli.

The court reiterated that the Supreme Court on September 9 issued a consent order from Amazon and Future Group barring Delhi’s high court, regulators and other statutory authorities in the country from issuing an effective order on the Future-Reliance agreement for four weeks. . “It was an order placed after you both agreed.” We hope that you will not do anything now and that you will not continue, ”the judiciary told lead lawyer Parag P. Tripathi, who appeared for Future Group.

Future says to stop the process of selling assets

After Tripathi assured the court that Future Group would not take any action to rush the case, the judiciary further asked him to seek an adjournment before the National Company Law Tribunal (NCLT), where Future Group requested the summons to be called. meetings of its shareholders and creditors to seek approval of a proposal to sell the retailer’s assets to Reliance.

The court has set the case for a full hearing on November 17, during which it will also consider Future Group’s petition against the Delhi high court’s refusal to stay the Singapore arbitral tribunal’s October 21 decision. The Singapore International Arbitration Center (SIAC) has barred Future Group from pursuing its deal with Reliance. On October 29, the High Court issued a notice of Future’s motion setting the case for a hearing at a later date, but refused to stay the SIAC interim order in the meantime.

On Thursday, the judiciary heard Amazon’s call to prevent all authorities, including the NCLT, from allowing any action that might facilitate the Future-Reliance deal until the case is finally decided by the highest court.

Senior attorney Ranjit Kumar, appearing for Amazon, cited Future Group’s attempt to hold a meeting of shareholders and creditors for approval to sell its retail assets to Reliance, asking the bench to issue a restraining order.

Tripathi argued that the process of holding meetings takes between 35 and 40 days and that nothing is happening at the moment.

The judiciary, however, said that the SIAC order was binding on Future Group, as also ruled by the Supreme Court judgment of August 6 and that, therefore, the retailer should choose its remedies based on this. verdict.

As Tripathi said the Delhi High Court was reluctant to issue an order due to the highest court’s interim restraining order on September 9, the judiciary said it did not prevent the High Court to examine the case on the merits, but the interim order was limited only to the aspect of coercive measures against the directors of Future Group.

“We didn’t stay at everything. We have never prevented the Delhi High Court from ruling on the case. We have only issued some clarifications on the (High Court) orders on the seizure of property etc. The magistracy observed, adding that it would issue the appropriate orders when the case is heard on the following date. The court also sent a formal notice to the Future Group on Amazon’s plea.

On September 9, the court barred the Delhi high court from adopting any unfavorable directives against the sale of assets proposed by Future Group to Reliance or from seizing the assets of Future Group chairman Kishore Biyani and other directors. . This order was made in light of the fact that Future approached SIAC to set aside the court order of October 2020, which had imposed a standstill on the transaction between Reliance and Future.

At the same time, the highest court has prevented other authorities, including the National Company Law Appeals Tribunal, the Competition Commission of India and the Securities and Exchange Board of India, from approving any plan to facilitate the Future-Reliance agreement.

The legal battle between Amazon and Future may well decide the future of India’s retail landscape.

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