Deepak Fertilisers moves court as RIL, GAIL cut off gas

Written by fe Bureau | Pune | Updated: May 16 2014, 12:57pm hrs
Deepak FertilisersOil ministry has stopped subsidised gas supply to Deepak Fertilisers.
Deepak Fertilisers & Petrochemicals Corporation has approached the Delhi High Court against the sudden stoppage of natural gas supply to its Maharashtra plant. In a filing to BSE, the company said the supply of domestic gas to its plant situated at Taloja MIDC in Raigad district of Maharashtra has been stopped by GAIL and Reliance Industries from 6 am on May 15 on the orders of the ministry of petroleum. The order was issued without any prior notice,the company said, terming the order arbitrary, unfair and discriminatory.

Shailesh Mehta, CMD of Deepak Fertilisers told a TV channel the suspension came in despite the EGoM's approval and recommendation for continuing supplies.

Responding to a query on the ongoing battle for acquiring controlling stake in Mangalore Chemicals and Fertilizers with Adventz Group's Saroj Poddar and UB Group's Vijay Mallya and the possibility of Deepak Fertilizer making a counter offer, Mehta remained non-committal. He said the company will study the implication of the offer made by Poddar-Mallya and after talks with its merchant bankers take a firm call in two to three weeks.