Amazon had initiated the arbitration proceedings in 2020 after Future Retail struck a Rs 24,500-crore merger deal with Reliance Retail.
Staying the arbitration proceedings last week, the division bench of the HC said there is a “prima facie case” in favour of the Future group companies in view of the Competition Commission of India (CCI) suspending its clearance given to Amazon’s 2019 deal with Future Coupons (FCPL). The division bench, which comprised Chief Justice DN Patel and Justice Jyoti Singh, put the arbitration proceedings on hold and said if it is not halted, it would cause an “irreparable loss” to Future Group.
After the HC granted the stay, the Singapore International Arbitration Centre halted the arbitration proceedings, scheduled to be held from January 5 to 8.
Meanwhile, Amazon has also moved the National Company Law Appellate Tribunal (NCLAT) against the CCI’s December 17 order revoking its approval for Amazon’s deal with Future Coupons over alleged misrepresentation. CCI recently suspended its approval accorded more than two years ago to the e-commerce firm to acquire a 49% stake in FCPL following a review of allegations of concealment of information while seeking regulatory nod for the deal. The antitrust regulator also imposed a `202-crore penalty, which Amazon is required to pay within 60 days.