The court adjourned the hearing until Wednesday after a day-long hearing, which included arguments from the legal counsels of Amazon, Future and Reliance
The Future group firm has contended that Amazon is "misusing" the interim order passed by an emergency arbitrator of the Singapore International Arbitration Centre (SIAC) on October 25, 2020.
Corporate lawyers say Indian courts usually go along with orders given by foreign arbitration courts as witnessed in several cases before
According to the sources, Future group has been told not to proceed with its sale of shares to RIL till the outcome of the arbitration process
Time running out for Future Group, which has defaulted on debt payments
Future Group said it is not a party to the agreement under which Amazon has invoked arbitration proceedings and the deal cannot be held back through the arbitration process
This follows a dispute over Future's sale of its retail and wholesale businesses to MukeshAmbani-led Reliance Industries Ltd
Future Group founder says lost about Rs 7,000-crore revenue in 3-4 months; he would now 'think small' and focus on becoming digital-first
Company did 'too many acquisitions' and when Covid-19 struck it lost nearly Rs 7,000 crore revenue, says retail tycoon.
Amazon says the deal violates the no-compete contract signed with the Future group and the RIL-Future deal will derail its plans to buy a stake in Future Retail Ltd
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No plans to sell it despite competition from online players
Lenders, vendors await the fate of their dues; many threaten to move courts if they aren't repaid in 15 days
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Praveen Khandelwal, secretary general of Confederation of All India Traders said the deal will lead to monopoly and consequently unfair domination by the large player(s)
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Valuation concerns could weigh on the stock price of Future Enterprises
Rival Reliance Retail too will be investor in company
The financial instruments of Future group have gone through multiple rating downgrades in recent months due to the delay in payments