NEW DELHI - Some shareholders of the state-run power utility NTPC moved a petition Monday seeking directions to its management from the Delhi High Court to ensure all legal steps are taken to get natural gas supplies from Reliance Industries at the contracted price.
The petition filed on their behalf by advocate R.N. Ramalingam also asks the court to order a probe into NTPC with regard to its contract with Mukesh Ambani-led Reliance Industries for the supply of 12 million units of gas at $2.34 per unit from the Krishna-Godavari basin.
“NTPC and its officials are acting against the public interest and are acting in a manner that a huge wrongful profit will be made to Reliance Industries to the tune of Rs.25,000 crore at the cost of public exchequer,” the petition said.
The litigation was filed here while NTPC was advised by the government to move the Supreme Court to secure gas from Reliance Industries. The Bombay High Court is also hearing the matter.
Two top law officers of the government, Attorney General Goolam E. Vahanvati and Solicitor General Gopal Subramaniam, have already advised the company to move the apex court immediately to secure its interest in the gas row.
“NTPC should take all possible steps to protect its interest as advised by the solicitor general,” said Vahanvati over the weekend, endorsing the solicitor general’s legal opinion to the government.
Law ministry officials said the unanimous opinion of the two law officers has been forwarded to NTPC, which is a listed company that has 10.5 percent of its shares held by public and financial institutions.
“The fact that NTPC had to file a suit is a telling comment on the facts of the present case,” said Subramaniam.
“I regret to say that if international competitive bidding processes are intended to be treated with such disdain from responsible bidder (Reliance Industries), the world of business founded on trust and faith will break down.”
NTPC - as also Anil Ambani’s Reliance Natural Resources - are fighting a legal battle to get gas at $2.34 per unit from Reliance Industries, which has refused to do so, saying the government’s stand on price would frustrate the deal.
Filed under Court, Immigration, News | Tags: Fact, Litigation, New Delhi | Comment Below
Related?
NTPC advised to move apex court on Reliance gas rowAugust 13th, 2009 NEW DELHI - State-run power utility NTPC Ltd has been legally advised by the government to move the Supreme Court to secure gas from Mukesh Ambani-led Reliance Industries at the price agreed to with it earlier. The top two law officers of the government, Attorney General Goolam E.
Government will speak on one voice on KG gas row: MoilyAugust 20th, 2009 NEW DELHI - The government will speak in one voice on the Krishna-Godavari gas row, Law Minister M. Veerappa Moily said after the ministerial panel set up to coordinate the government's position on the issue met for the second consecutive day late Thursday night.
Court to fix final date of hearing on Reliance gas dispute Sep 1July 30th, 2009 NEW DELHI - The Supreme Court Thursday said it will fix on Sep 1 the date of final hearing on the dispute over the supply of natural gas between Anil Ambani-led Reliance Natural Resources and his elder brother's Reliance Industries. A bench headed by Chief Justice K.G.
Court admits petition for early end to Reliance gas disputeJuly 30th, 2009 NEW DELHI - Anil Ambani-led Reliance Natural Resources moved the Supreme Court Thursday seeking an early settlement of the dispute with Reliance Industries over gas from the Krishna-Godavari basin, even as the government withdrew its affidavit as an intervener on the matter. According to Mahesh Agarwal, Counsel for Reliance Natural Resources, the Supreme Court admitted his client's petition and asked all the parties to appear before it on Sep 1.
Government statement on Reliance gas expected FridayAugust 21st, 2009 NEW DELHI - The government is likely to issue a statement later Friday spelling out its position on the supply of natural gas from the Krishna-Godavari basin awarded to Mukesh Ambani's Reliance Industries. The decision was taken late Thursday following a meeting of a high-level panel, led by Finance Minister Pranab Mukherjee, with Petroleum Minister Murli Deora, Power Minister Sushilkumar Shinde and Law Minister M.
Supreme Court adjourns Reliance gas dispute hearing to Sep 1July 20th, 2009 NEW DELHI - The Supreme Court Monday adjourned till Sep 1 its hearing on the dispute over natural gas supply from the Krishna-Godavari basin between Mukesh Ambani's Reliance Industries and his brother Anil's Reliance Natural Resources Ltd. The court, which commenced hearing the petition by Reliance Industries challenging the verdict of the Bombay High Court last month, also declined to pass any interim order on the dispute.
SC rejects RNRL plea for final hearing on Sept 1July 30th, 2009 NEW DELHI - The Supreme Court on Thursday refused to hear Reliance Natural Resources Limited (RNRL) plea for commencing final hearing on gas dispute from September 1. A bench headed Chief Justice K G Balakrishnan said it would decide on final hearing date on September 1.
Brakel gets more time to respond to Reliance Energy's petitionMarch 31st, 2009 SHIMLA - The Himachal Pradesh High Court Tuesday gave more time to Brakel Corp of Holland to file its reply on a petition filed by Reliance Energy challenging the state government's allotment of a multi-million dollar hydropower project to the Dutch firm. The next hearing will be held May 18.
