Amazon Approaches Supreme Court Against Future-Reliance Retail Deal

New Delhi: E-commerce giant Amazon on Thursday moved Supreme Court seeking to stop Future Group’s Rs 24,713 crore retail assets sale to Reliance Industries, challenging the lifting of “status quo” orders by the division bench of Delhi High Court. Amazon moved the Supreme Court days after the Delhi High Court revoked a previous single judge decision that effectively blocked the deal. The high court’s order was, however, an interim one and the next hearing is on February 26. Also Read – Australian Open 2021: Ankita Raina’s Maiden Grand Slam Stint Ends in First Round

In its petition to the Supreme Court, Amazon said the high court should have waited for a detailed order of the single-judge bench before removing the hold on the deal. The high court reportedly allowed procedures before the Competition Commission of India and the Securities and Exchange Board of India to go ahead, a move opposed by Amazon, which said once the matter goes through the regulators then there could be no return. Also Read – Hyderabad Police Bust Gang That Stole Bikes Meant For Rental Services At Metro Stations, 38 Motorcycles Recovered

As per reports, Amazon, locked in legal disputes with the Future group, alleging the Indian firm violated contracts by agreeing to sell its retail assets to Reliance Industries last year. However, Future has denied of any wrongdoing. Also Read – Costliest ‘Ghagra’? Drugs Worth Rs 1.7 Crore Hidden in Lehengas That Were Being Sent to Australia

Earlier on Monday, a bench of Chief Justice D N Patel and Justice Jyoti Singh passed the interim direction on FRL’s appeal challenging the February 2 order of the single judge bench.

Amazon had first filed a plea before the single judge for enforcement of the October 25, 2020 Emergency Arbitrator (EA) award by the Singapore International Arbitration Centre (SIAC) restraining FRL from going ahead with its Rs 24,713 crore deal with Reliance Retail.

In an interim order, the division bench said it was staying the single judge order as firstly, Future Retail was not a party to the share subscription agreement (SSA) between Amazon and Future Coupons Pvt Ltd (FCPL) and the US e-commerce giant was not a party to the deal between FRL and Reliance Retail.

The bench further said it was of the prima facie view that the share holding agreement (SHA) between FRL and FCPL, the SSA between FCPL and Amazon and the deal between FRL and Reliance Retail “are different” and “therefore, the group of companies doctrine cannot be invoked”.

Another reason given by the Court for its interim order was that there was prima facie no reason to seek a status quo order before the single judge.