In a relief to Purnendu Chatterjee-led The Chatterjee Group (TCG), the Supreme Court has restrained the West Bengal government from divesting its stake in Haldia Petrochemicals (HPL), the largest petrochemical company in the state, till November end. The two petitions filed by Chatterjee Petrochem (India) and group firm Chatterjee Petrochem (Mauritius) Company (CPMC) had sought to restrain West Bengal Industrial Development Corporation (WBIDC) from divesting its stake in HPL and inviting bids from third parties for 155 million shares, covered by the International Chamber of Commerce (ICC) Reference.
A bench headed by justice GS Singhvi, while setting aside the HC order that allowed the West Bengal government to invite bids from third parties for its 155 million shares in HPL, said that its order ?shall remain operative for three weeks?. It also gave liberty to WBIDC to file an ?appropriate application before the single judge? of the HC for modification of the order. It also requested the single judge to decide the application before November end.
It is likely that the top court will, in the meantime, pronounce its judgment on TCG?s another appeal that challenged the HC order that restrained CPMC from approaching the ICC, Paris, to resolve dispute over the HPL?s ownership. The Arbitration Reference filed by TCG is for the claim of 360 million shares of HPL, which includes the 155 million shares in dispute. A decision in TCG?s favour will ensure that CPMC has a majority stake, at least 51% in HPL.