RIL has nominated Justice B P Jeevan Reddy, a former Supreme Court judge, as arbitrator. RCom is in talks for a reverse merger with South African telecom conglomerate MTN, to which RIL has objected saying it violates the ROFR clause in a memorandum of understanding between the brothers when the Reliance empire was partitioned in January 2006.
The RIL move comes a few days before the deadline for exclusivity talks between MTN and RCom ends on July 21.
However, according to RCom sources, this is a "unilateral decision" and the company sticks to its earlier stance of "no legal validity to the issue".
RCom had earlier refused to participate in the conciliatory meetings called by RIL to iron out the ROFR issue.
RIL also sent a copy of today's statement to RCom and MTN Group, the fourth such letter it has sent to both.
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Arbitration is a legal dispute resolution technique outside the courts under which the parties to a dispute refer it to an arbitrator whose decision they agree will be binding.
According to an RCom executive, "Arbitration by definition means appointing a mediator who is approved by both the parties while in this case RCom was not even consulted."
An RCom spokesperson added: "RIL's mala fide design to derail the MTN discussions is clearly being exposed by this move. RIL has successfully destroyed India's image in foreign eyes and RIL's notice for arbitration proceedings are legally and factually unwarranted."