Amazon And Reliance Deadlock Over Future Group Continues
The dispute between Reliance Industries and Amazon over Future Retail continues, counsels for Future Coupons and Amazon told the Supreme Court on Tuesday.
On March 3, Amazon had proposed a dialogue with Future Group and Reliance Industries to end the legal deadlock. Reportedly, the court had given them time until March 15 to come up with a settlement. However, talks between Future Group, Reliance Industries, and Amazon have not led to a resolution. The matter remained unresolved in the court.
Amazon reportedly told the court it would like to begin arbitration proceedings at the Singapore International Arbitration Centre (SIAC). Future Group had also agreed to this.
Amazon’s counsel said the Supreme Court had been told no assets of Future Group would be transferred. However, Future Group’s counsel denied this claim.
On Tuesday, the Supreme Court allowed Amazon to file an interim application on this matter. According to Business Standard, Amazon will file an interim application, asking for a resumption of tribunal hearing and also an injunction on Future Retail from transferring its assets to Reliance Industries.
Newspaper advertisement by Amazon
In a newspaper advertisement on Tuesday, Amazon accused Future Retail and Reliance Industries of “fraud” over the transfer of stores. The advertisement headlined “Public Notice” aimed at alerting all stakeholders, including Future Group’s lenders, that the transfer of assets to Reliance Industries is legally prohibited.
Reliance started the takeover of Future Group stores on February 25. On March 9, Future Group said in two stock exchange filings it received termination notices on March 7 and March 8 for 947 stores, which it had sub-leased from Reliance Industries.
On March 15, Amazon filed a petition in the Delhi High Court to stop Future Retail’s (FRL’s) $3.4-billion deal with Reliance Industries. This case will come up for hearing on March 22.