India’s Future Retail on Saturday filed a new case against Amazon.com Inc in the Supreme Court in its latest effort to seek clearance for its $3.4 billion retail asset sale, which the US company challenged.
This month’s Supreme Court dealt a blow to Future by asserting that a provisional ruling by a Singapore arbitrator in October 2020 that suspended its agreement with Reliance Industries – following Amazon’s complaint – was valid in India.
The higher court also said Future could not appeal a lower court decision against it. The retailer is now asking the higher court to hear the challenge, people familiar with the case said.
In its 6,000-page lawsuit, Future argued that if the agreement with Reliance is not approved, it would cause “unimaginable” damage to the group, including possible job losses for 35,575 employees, and would put at risk around Rs. 28,002 crores ($3.81 billion) in bank loans and debentures.
“There is extreme urgency to hear this petition,” said future Yugandhara lawyer Pawar Jha in the Supreme Court case, which is not public. Reuters saw the filing.
Spokespersons for Amazon and Future did not respond to requests for comment on Saturday.
Amazon has been in a dispute with Future for months and accuses the Indian company of breaching contracts when it sold its retail assets to market leader Reliance last year. Future denies any wrongdoing.
The outcome of the dispute involving two of the world’s richest men, Jeff Bezos of Amazon and Mukesh Ambani of Reliance, is seen as a reshaping of the pandemic-stricken Indian shopping sector, and decided whether Amazon can diminish Reliance’s dominance in the country’s nearly trillion-dollar retail market.
The dispute began after Future, India’s second-largest retailer with more than 1,700 stores, including the popular Big Bazaar supermarkets, struck a deal last year to sell its retail business to Reliance after COVID-19 hit hard. its operations.
© Thomson Reuters 2021