SC posts Ambani case to Sept 1

The Supreme Court on Monday posted the legal tussle over the gas-sharing arrangement between the Ambani brothers for further directions to September 1.

The Supreme Court on Monday posted the legal tussle over the gas-sharing arrangement between the Ambani brothers for further directions to September 1. The two-party battle is,however,all set to become a three-party contest with the government keenly contesting the Bombay High Court decision before the apex court.

Not inclined to stay the High Courts decision,the bench comprising Chief Justice K G Balakrishnan and Justice P Sathasivam made it clear that it would also examine on September 1 whether the separate appeal filed by the Centre challenging the courts verdict could be admitted. On the eve of crucial hearing on cross-appeals filed by Ambani brothers,the government filed a special leave petition SLP seeking a direction to declare null and void the deal between the Ambanis on fuel supply. A three-member bench will take up the matter on September 1,the Chief Justice said.

As the bench asked both Reliance Industries and Reliance Natural Resources to file their replies,senior advocate Mukul Rohtagi vehemently objected to the government trying to enter the litigation. Opposing the governments appeal,Rohtagi submitted,The government was an intervener in the High Court. Now,how can it file a SLP? It was not an aggrieved party.

Ram Jethmalani,another senior advocate appearing for RNRL,further accused the government of openly supporting RIL. The ministry is in the pocket of the respondent RIL 8230;And the governments conduct in this matter is worse than the respondent, he said. Forcing an equally strong reaction from the counsel for RIL,senior advocate Harish Salve shot back saying,I have not looked in my clients pocket.

Additional solicitor general Mohan Parasaran,however,sought to counter RNRL as he claimed that the government was aggrieved by the High Courts interpretation of the family agreement and also by the impugned ruling,which is likely to affect the supply and distribution of a natural resource. The court also adjourned the hearing of several applications filed by some power companies seeking a direction to be heard as interveners in the RIL-RNRL dispute.

RIL and RNRL had moved the apex court challenging the decision of the Bombay High Court on gas supply. The High Court had asked RIL to supply gas to RNRL at 2.34 per mmBtu on mutually agreed terms. The government,which had fixed gas price at 4.20 per mmBtu,moved a separate petition alleging that the two brothers were surreptitiously appropriating natural resources. RIL had petitioned the apex court for a stay on the High Court decision,saying it has no unfettered rights on gas,including that on price,and can8217;t give gas without an official nod.

It does not belong to either of them,says Deora

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New Delhi: Amidst the legal battle between RIL and and RNRL over gas from the Krishna-Godavari basin,petroleum minister Murli Deora on Monday hit out at the Ambani brothers for fighting over a natural resource that belongs to the government and the people of the country. I am personally appalled and disgusted at how these two brothers are fighting over something that belongs to the government and the people of India, Deora said. It does not belong to them, he added. I am very very clear that the natural resource,like any other other resource iron ore,uranium or coal belongs to the government and not to Ambani brothers, Deora said. PTI

Govt did not let RIL off the hook for signing pact: Secy

New Delhi:The government has not let Reliance Industries off the hook for signing a private MoU with RNRL to divide entire gas volumes from KG basin fields,thus holding industrial development to ransom,petroleum ministry R S Pandey said on Monday. 8220;We for the first time got to know from the Bombay High Court judgment of last month that all volumes beyond 28 mmscmd committed to Anil Ambani8217;s RNRL and 12 mmscmd to NTPC were divided between RIL and RNRL in 60:40 ratio,8221; Pandey said. 8220;The MoU also states that they are free to price the volumes beyond those locked in litigations. So practically,RIL may transfer KG-D6 gas for use in its refineries and petrochemical plants at 1 per mmBtu,8221; he said. PTI

CM Reddy says AP should also get a share in gas

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Hyderabad: Andhra Pradesh chief minister Y S Rajasekhara Reddy on Monday expressed regret that the state does not get any share in the royalty or in the profit and do not enjoy priority in allocation of natural gas. He said,It is unfortunate that our state does not get any share in the royalty or in the profit. We do not enjoy any priority in allocation nor in pricing. He said Reliance Industries Ltd had already started commercialising gas from its D6 block and the first land fall point for the gas is East Godavari district in Andhra Pradesh. The extreme interpretation of the constitutional provisions about the off-shore resources should not be invoked to deny people of our state their due share, Reddy said. PTI