The Bombay High Court will hear the high profile case between Reliance Industries Limited (RIL) and NTPC on 26 July. NTPC is locked in a legal battle with RIL to get gas at $2.34 per British thermal units.
Earlier, in the long-drawn battle RIL had said that it had no choice but to sell the gas at $4.2 per mmbtu to RNRL since that was the government approved price while RNRL maintained that it had to be the same as NTPC's bid price of $ 2.34 a unit, as agreed upon in the Ambani family MoU. RIL said even the NTPC bid was subject to government approval and attempted to prove this with various draft contracts between the two firms.
Meanwhile, the third party, the government argued that it was the owner of the gas fields and that two brothers had no right to merge or demerge govt property. The solicitor general Gopal Subramanium even went on to say that the EGoM approved price and allocation policy cannot be challenged in this case, lashing out at RNRL's stand.
The judgement could be more crucial for ADA Group as it will have an impact on the stocks of other group companies.
The Supreme Court may pronounce a judgement on the sale of natural gas by RIL to Reliance Natural Resources Limited (RNRL) in the next few days, bringing to conclusion India's most fiercely fought corporate battle.
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