You are here: Home » Companies » News
Business Standard

Vodafone retro tax: Delhi HC rejects Centre's plea against arbitrations

Vodafone has initiated arbitration proceedings under the India-United Kingdom and India-Netherlands Bilateral Investment Protection Agreement in connection with the tax demand raised against the firm

Topics
Vodafone  |  Business  |  Economy Of Europe

Press Trust of India  |  New Delhi 

Vodafone
Vodafone

The on Monday dismissed the Centre's plea challenging Vodafone's move to initiate two international arbitrations against in connection with a tax demand of Rs 110 billion under a retrospective law of 2012.

Justice Manmohan said the Centre can approach the UK arbitration tribunal under the India-United Kingdom Bilateral Investment Protection Agreement (BIPA) for its grievance.

has initiated arbitration proceedings under the India-United Kingdom and India-Netherlands Bilateral Investment Protection Agreement in connection with the tax demand raised against the company in relation to its $11 billion deal to acquire the stake of Hutchison Telecom.

While proceedings under the India-Netherlands BIPA were pending, the telecom major initiated second arbitration under India-UK BIPA as well on January 24, 2017.

The Centre had told the that the Group had abused the process of law by initiating two international arbitrations.

Challenging the second arbitration, the government had said the two claims were based on the same cause of action and they seek identical reliefs, but from two different tribunals constituted under two different investment treaties against the same host state.

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Mon, May 07 2018. 21:55 IST
RECOMMENDED FOR YOU
.