SC Judgment – Division bench order of Del HC which had allowed for Future Retail to progress have been stayed.
SC judgment upholds single judge bench order, which had directed attachment of assets of Biyani, Future Retail Directors.
IMP – No appeal lies under Sec 37 of Arbitration Act against the HC order for enforcement of EA order.
Thank you, readers! That's all from our side in Supreme Court's verdict in the Amazon-Future Group deal case
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Amazon vs Future – Here are the salient points from today's Supreme Court verdict
SC judgment confined to the enforceability of Emergency Arbitrator Order
SC Judgment does not deal with the merits of the Future Retail, Amazon Dispute.
Emergency Arbitrator order has been held to be enforceable.
Emergency Arbitrator order can be challenged in Indian High Court.
Future Retail is likely to move the Del HC to challenge the Emergency Arbitrator Order.
Emergency Arbitrator had directed for a stay of the Rs. 25, 000 crore Future Retail Deal.
Deep Dive – CNBC-TV18’s Ashmit Kumar gives a timeline of the Amazon vs Future case
Chronological Order -
In 2019, Amazon bought a 49% stake in Future Coupons, Future Retail was a step-down subsidiary of Future Coupons.
In Aug 2020, the Board of FRL approved deal Rs. 25,000cr deal with Reliance
In Oct 2020, Singapore-based Emergency Arbitrator passed interim orders restraining FRL from proceeding with the deal.
In Dec 2020, Future Retail moved Del HC in a suit, sought to restrain Amazon from writing to regulators.
In Dec 2020, Single Judge Bench of Del HC (Justice Mukta Gupta) held that prima facie Amazon's conduct was that of tortious interference, that FRL board resolution was valid, that Amazon was potentially in violation of FEMA (Amazon appealed against this order. Amazon appeal is still pending before division bench of Del HC)
In Jan 2021, Amazon moved Del HC, sought enforcement of Singapore-based Emergency Order staying the Future Retail Deal.
On Feb 2, 2021, Single Judge Bench headed by Justice Midha issued INTERIM directions for "status quo" on Future Retail Deal to "protect" Amazom. On the very next day, Future Retail moved the division bench of Del HC to reverse the INTERIM status quo order.
On Feb 8, 2021, Division Bench of the Del HC granted relief to FRL, overturned the INTERIM order of Justice Midha granting "status quo" on the deal.
On Feb 11, Amazon moved the Supreme Court against the Division Bench order of Del HC, lifting the INTERIM status quo
On Feb 22, Supreme Court allowed for FRL to proceed with a plea for a nod before NCLT, restrains NCLT from finalizing orders sanctioning the deal.
Mar 18 – Justice Midha led bench of Del HC, passed final orders, confirms the interim order that EA order needs to be complied with. Further states that Future, Biyani wilfully disobeyed the EA order and must face consequences. Del HC has directed for attachment of Biyani, Future Promoter Directors' assets. Del HC has asked Biyani, Future Promoter Directors to show cause why they should not be placed in civil jail for 3 months.
Mar 22 – Del HC division bench stays the operation of the Single Judge Bench Order of Del HC. Division bench lifted stay on FRL deal, allowed for the deal to proceed. Division Single Judge bench had directed attachment of assets of Biyani, Future Promoter Directors.
April 7 – Amazon moved SC, challenging lifting of the stay on FRL-RIL deal, by Del HC.
AND in STOCK MARKETS | All Future group stocks fall sharply as Supreme Court rules in favor of Amazon in Future-Amazon case
The Supreme Court judgement puts in question - Reliance - Future deal.
Reliance Industries shares at day’s low
Also, what about the banks? asks CNBC-TV18's Mangalam Maloo
Future group debt > Rs 12,000 crore PSU banks decline.
CNBC-TV18's Ashmit Kumar a 360 degrees round-up of the Amazon-Future Retail tussle ahead of the verdict.