The Gujarat high court has ordered appointment of a commission to record statement of Adani group officials as witnesses in connection with a pending suite in Australia. The case involves a multinational firm-Leighton International Limited (LIL)- and its former employee.
The Australian company Leighton International Limited (LIL), a company registered in the Cayman Islands and a wholly owned subsidiary of Leighton Holdings Limited (LHL), a Sydney-based public company and listed on the Australian Stock Exchange, has accused its former employee Gavin John Hodge of corruption, breach of contract and illegally diverting its resources to third parties including Adani groups' firm. The company has also claimed damages of AUS$ 5.64 million due to Hodges action.
The order by the Gujarat High Court was issued recently following a request by the the Supreme Court of News South Wales, Australia. The Australian court had initially requested the Gujarat High Court to record the statement of Adani group chairman Gautam Adani and Sandip Adani, deputy GM, PMC Projects (I) pvt ltd (a project management firm associated with Adani Group) as witnesses.
The Adani Group had urged the court to replace the name of Gautam Adani with a competent official of the group who was dealing with the project, from which the entire issue has arisen.
Adani Group spokesperson today said that Gautam Adani's name has been removed from the order and one Kailash Verma from the Adani Port Special Economic Zone has been authorised to give the statement on the group's behalf.
Justice R M Chhaya asked the HC registrar (judicial) to appoint an assistant registrar to record statements.
The allegation of corruption against Hodge includes claim by the company that his actions denied the company the ability to obtain remuneration in respect of the project management activities and to establish a business relationship with the Adani Group.
According case details LIL had deployed an engineer Gavin John Hodge as project manager at Batam in Indonasia, where the company had commissioned building of a vessel ‘Leighton Eclipse’ through an Indonesian firm PT Expert Engineering (PTEE), which was also contracted by the Adani Ports and Special Economic Zone Ltd (APSEZ) in June 2008 for design, supply and supervision of erection, testing of RoRo Pontoon and link bridge. Ultimate owner of RoRo was Adani-associated PMC Projects.
Leighton claimed that its employee Hodge diverted certain assets and resources meant for construction of Leighton Eclipse towards RoRo without the knowledge or permission of the company ( Leighton International Limited).
Leighton suspended Hodge in March 2011 and terminated his service contract one month later. It then instituted a suit in Australia against Hodge and sought compensation of over Aus$ 5 milliion towards damages due to his alleged corrupt practice.
Looking at the allegations and evidence in possession of APSEZ and PMC Projects, the Supreme Court of News South Wales, Australia, issued a Letter of Request seeking Gujarat HC’s assistance in taking evidence from the witnesses who belong to Adani Group.
After hearing the case, Justice Chhaya asked the judicial officer to record statement of witnesses and asked him to report to the High Court only in case of any resistance or objection from witnesses. Leighton has been asked to deposit Rs 10,000 towards the cost of appointment of the commission.
The Australian company Leighton International Limited (LIL), a company registered in the Cayman Islands and a wholly owned subsidiary of Leighton Holdings Limited (LHL), a Sydney-based public company and listed on the Australian Stock Exchange, has accused its former employee Gavin John Hodge of corruption, breach of contract and illegally diverting its resources to third parties including Adani groups' firm. The company has also claimed damages of AUS$ 5.64 million due to Hodges action.
The order by the Gujarat High Court was issued recently following a request by the the Supreme Court of News South Wales, Australia. The Australian court had initially requested the Gujarat High Court to record the statement of Adani group chairman Gautam Adani and Sandip Adani, deputy GM, PMC Projects (I) pvt ltd (a project management firm associated with Adani Group) as witnesses.
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However, the Adani group moved an application seeking a change in the High Court order.
The Adani Group had urged the court to replace the name of Gautam Adani with a competent official of the group who was dealing with the project, from which the entire issue has arisen.
Adani Group spokesperson today said that Gautam Adani's name has been removed from the order and one Kailash Verma from the Adani Port Special Economic Zone has been authorised to give the statement on the group's behalf.
Justice R M Chhaya asked the HC registrar (judicial) to appoint an assistant registrar to record statements.
The allegation of corruption against Hodge includes claim by the company that his actions denied the company the ability to obtain remuneration in respect of the project management activities and to establish a business relationship with the Adani Group.
According case details LIL had deployed an engineer Gavin John Hodge as project manager at Batam in Indonasia, where the company had commissioned building of a vessel ‘Leighton Eclipse’ through an Indonesian firm PT Expert Engineering (PTEE), which was also contracted by the Adani Ports and Special Economic Zone Ltd (APSEZ) in June 2008 for design, supply and supervision of erection, testing of RoRo Pontoon and link bridge. Ultimate owner of RoRo was Adani-associated PMC Projects.
Leighton claimed that its employee Hodge diverted certain assets and resources meant for construction of Leighton Eclipse towards RoRo without the knowledge or permission of the company ( Leighton International Limited).
Leighton suspended Hodge in March 2011 and terminated his service contract one month later. It then instituted a suit in Australia against Hodge and sought compensation of over Aus$ 5 milliion towards damages due to his alleged corrupt practice.
Looking at the allegations and evidence in possession of APSEZ and PMC Projects, the Supreme Court of News South Wales, Australia, issued a Letter of Request seeking Gujarat HC’s assistance in taking evidence from the witnesses who belong to Adani Group.
After hearing the case, Justice Chhaya asked the judicial officer to record statement of witnesses and asked him to report to the High Court only in case of any resistance or objection from witnesses. Leighton has been asked to deposit Rs 10,000 towards the cost of appointment of the commission.