Issuing notice to the Future group, the Supreme Court on Wednesday sought a reply on an appeal by Amazon challenging a 5 January Delhi High Court division bench order staying the ongoing arbitration proceedings in connection with Future Retail’s Rs 24,500 core merger deal with reliance in 2019.
A bench headed by Chief Justice N V Ramana issued the notice to Future Group and scheduled the matter for hearing on February 23.
The bench, also comprising Justices A S Bopanna and Hima Kohli issued notices to the Future group firms – Future Coupons Private Ltd (FCPL) and Future Retail Ltd (FRL) and said that it will hear the matter “without any adjournment”.
The Delhi High Court on January 5 had stayed the Amazon-Future arbitration which is going on before a three-member arbitral tribunal over the latter’s Rs 24,500-crore deal with Reliance.
The CJI, during the brief hearing, expressed displeasure over some media reports on his remarks made on Tuesday while declining US-based e-commerce major Amazon’s request to file written submission in another case. The firm had sought a nod to proceed with the National Company Law Tribunal (NCLT) permission of going ahead with the merger.
The bench had observed on Tuesday that it appeared to be a “luxurious litigation”.
While issuing the notice on the fresh plea of Amazon on Wednesday, the CJI said, “I am sorry to say that papers are unnecessary highlighting whatever we observed, but this is also the same, the other side (Future), they don’t want matters to go on.”
The fresh plea, on which the apex court issued notice, has been filed by the US firm assailing the January 5 order of a division bench of the Delhi High Court staying the Amazon-Future arbitration which is going on before a three-member arbitral tribunal.
Amazon and the Future Group have been locked in a legal tussle after the US e-commerce giant dragged the latter to arbitration at the Singapore International Arbitration Centre in October 2020.
On January 5, the Delhi High Court stayed further arbitration proceedings between the parties before the Singapore tribunal till February 1.
In December last year, the Competition Commission of India (CCI) had imposed a penalty of Rs 202 crore on Amazon and suspended its approval for the e-tailer’s deal with Future Coupons, a promoter firm of the group’s public listed company Future Retail Ltd, seeking more information. The Singapore tribunal had held that it could not accommodate its termination application ahead of the scheduled hearings on the main case.
Citing the Competition Commission of India (CCI) order, the high court noted that there is a prima facie case made out in favour of appellants. The high court further added that it will stay further proceedings of the tribunal till the next date of hearing.
The Future Group had sought termination of the arbitration proceedings instituted by Amazon.