Desk
Share
Good News For Anil Ambani : The Calcutta High Court has upheld the decision in favor of Reliance Infrastructure Limited in the arbitration dispute of Rs 780 crore with West Bengal-based Damodar Valley Corporation (DVC). Anil Ambani's group company gave this information to the stock market. More than a decade ago, Reliance Infrastructure got the contract to set up a 1,200 MW thermal power plant in Purulia, West Bengal for Rs 3,750 crore. Know further why the dispute happened.
Judgment in favor of the company
The project awarded to Anil Ambani's company was delayed due to disputes and other reasons, due to which DVC sought damages from Reliance Infrastructure. However, Reliance Infrastructure challenged this, and in 2019 an arbitration tribunal ruled in favour of the company and directed DVC to pay Rs 896 crore to the company.
DVC challenged the order of the arbitration tribunal in the Calcutta High Court, which the court dismissed.
The company gave information.
The company said in a stock exchange filing, "The division bench of the Calcutta High Court pronounced its judgment on September 27, 2024, in the petition filed by Damodar Valley Corporation under Section 34 challenging the arbitration award dated September 29, 2023, in respect of Raghunathpur Thermal Power Plant. This involves an amount of about Rs 780 crore including interest."
The total amount including interest is Rs 780 crore.
The company said the court "upheld the arbitration award except for pre-allotment interest relief and reduction in interest on bank guarantee amounting to Rs 181 crore, which amounts to Rs 780 crore including accrued interest. In addition, a bank guarantee of Rs 600 crore will also be released."
Reliance Infra said it is currently reviewing the decision in detail and "depending on legal advice, will either proceed to implement the decision or challenge the decision of September 27, 2024."
--Advertisement--
