ADAG not to seek review of SC verdict

ADAG Chairman Anil Ambani today said his group had no immediate plans to seek review of the Supreme Court verdict that rejected cheap gas to group firm RNRL from Mukesh Ambani-led RIL.

"RNRL looks forward to an expeditious and successful renegotiations with RIL within the stipulated period of six weeks to secure gas supply for the group's power plants in line with the Supreme Court order," Ambani told reporters shortly after the judgement.

In the dispute, where RNRL sought gas at a concessional price of $2.34 per mmBtu as against the government approved $4.20 per mmBtu, the Supreme Court said the government has the last word on pricing and usage.

It also asked RIL and RNRL to renegotiate gas supply terms within six weeks.

"RNRL has currently no plans to file a review petition in the Supreme Court," Ambani said.

Anil Ambani, who left the court without taking any questions from reporters after the judgement was pronounced, said that the court has safeguarded the interests of 25 lakh shareholders of RNRL by issuing guidelines for expeditious finalisation of gas supply agreement.

"By a majority judgement, the Supreme Court has upheld RNRL's case that the company petition filed by RNRL as maintainable and has upheld the powers of the court to modify the scheme and make it workable," he said.

Ambani said that the apex court has also acknowledged that the June 18, 2005 MoU was basis for the business reorganisation of RIL.

"The court has also directed that suitable arrangements for gas supply should not only be suitable to RIL but also the shareholders of RNRL, whose interests have to be fully protected," he said.

RNRL is seeking 28 mmscmd of gas from RIL's KG-D6 fields for group firm Reliance Power's proposed power plant in Dadri, Uttar Pradesh.