New Delhi: heroine is likely to go to the Supreme Court against National Company Law Appellate Tribunal (NCLAT) order that dismissed its petition challenging the Competition Commission of India’s (CCI) suspension of approval for investment of the US e-tailer in Future Coupons (FCPL).
In a major setback to Amazon, the NCLAT on Monday directed Amazon to pay around Rs 200 crore — basically a fine imposed by the CCI on the e-tailer for withholding of facts — while it asked the antitrust regulator for the deal. Approval was sought within 45. Day.
“… ‘Appellant/Amazon’ did not make full, complete, fair, clear and unambiguous disclosure of relevant materials and furnished only limited details/disclosure relating to its ‘acquiring strategic rights and interests’ on ‘FRL’ and the execution ‘commercial contract’ among themselves and ‘FRL’…” the NCLAT said in its order.
An Amazon spokesperson did not comment for this story, but sources told TOI that it currently has two options: approach the Supreme Court or apply for a fresh approval from the CCI. Amazon is likely to take the first route.
While in 2019 the CCI approved Amazon’s Rs 1,500 crore investment to acquire a 49% stake in FCPL, it suspended its decision in December based on complaints from Kishor Biyani. Future GroupParents of FCPL.
In a multi-pronged legal battle with Future Group, Amazon has used its investment in FCPL to block a Rs 24,700-crore Reliance-Future deal, claiming that the transaction has hit Future Retail (FRL), major Futures Ltd. Protective rights have been given over the group. The company housing supermarket chain Big Bazaar among others.
While RIL canceled the deal to acquire core parts of Future Group in April after the latter’s secured creditors rejected the offer, the move left Future Group on insolvency proceedings.
Although in February Reliance Due to non-payment of dues and rent, Future Group went on to take control of hundreds of stores. The petroleum-to-fashion conglomerate sublet these assets to a cash-strapped retailer. In addition, thousands of employees of Future Group received offer letters from Reliance Retail.
A Future Group spokesperson did not comment on this story.
In a major setback to Amazon, the NCLAT on Monday directed Amazon to pay around Rs 200 crore — basically a fine imposed by the CCI on the e-tailer for withholding of facts — while it asked the antitrust regulator for the deal. Approval was sought within 45. Day.
“… ‘Appellant/Amazon’ did not make full, complete, fair, clear and unambiguous disclosure of relevant materials and furnished only limited details/disclosure relating to its ‘acquiring strategic rights and interests’ on ‘FRL’ and the execution ‘commercial contract’ among themselves and ‘FRL’…” the NCLAT said in its order.
An Amazon spokesperson did not comment for this story, but sources told TOI that it currently has two options: approach the Supreme Court or apply for a fresh approval from the CCI. Amazon is likely to take the first route.
While in 2019 the CCI approved Amazon’s Rs 1,500 crore investment to acquire a 49% stake in FCPL, it suspended its decision in December based on complaints from Kishor Biyani. Future GroupParents of FCPL.
In a multi-pronged legal battle with Future Group, Amazon has used its investment in FCPL to block a Rs 24,700-crore Reliance-Future deal, claiming that the transaction has hit Future Retail (FRL), major Futures Ltd. Protective rights have been given over the group. The company housing supermarket chain Big Bazaar among others.
While RIL canceled the deal to acquire core parts of Future Group in April after the latter’s secured creditors rejected the offer, the move left Future Group on insolvency proceedings.
Although in February Reliance Due to non-payment of dues and rent, Future Group went on to take control of hundreds of stores. The petroleum-to-fashion conglomerate sublet these assets to a cash-strapped retailer. In addition, thousands of employees of Future Group received offer letters from Reliance Retail.
A Future Group spokesperson did not comment on this story.