SC to hear plea of Future for direction to lending financial institutions

The Supreme Court agreed to hear the plea of Future Retail seeking a direction to lending financial institutions (FIs) from taking any action over non-payment of its debt obligations.

The Supreme Court on Thursday agreed to hear on January 31 the plea of Future Retail Ltd (FRL) seeking a direction to lending financial institutions (FIs) from taking any action over non-payment of its debt obligations.

A bench headed by Chief Justice N V Ramana took note of the submissions of senior advocate Mukul Rohatgi, appearing for the FRL, and agreed to hear the plea and asked him to serve the copy of the petition on 27 banks and US e-commerce major, Amazon.

This petition is not related to that transaction (FRL-Reliance Retail). Here the banks are going to sell my small shops. The problem is that they cannot sell as there is an injunction. Actually, Amazon is not concerned with this case. In any case, we will serve 27 banks in this matter, Rohatgi told the bench which also comprised justices A S Bopanna and Hima Kohli.

Amazon has been opposing the sale of FRL's and had got an award in its favour restraining the Future group from going ahead with the Rs 24,731 crore merger deal of Future Retail Ltd (FRL) with Reliance Retail.

Future Retail's assets include more than 1200 Big Bazar stores across the country.

Earlier, the apex court on January 11 had reserved verdict on a batch of pleas filed by Future group firms against a Delhi High Court order declining stay on an arbitration tribunal decision refusing to interfere with the Emergency Award (EA) of the Singapore International Arbitration Centre (SIAC).