DVC files affidavit undertaking to comply with direction of SC to deposit amount
Jun 13, 2022
New Delhi [India], June 13 : Damodar Valley Corporation (DVC) has filed an affidavit complying with the direction of the Supreme Court wherein it stated that the amount, as directed by the court would be deposited by the Corporation with the Registrar, High Court at Calcutta.
The affidavit was submitted in a matter pertaining to an arbitration issue between Reliance Infrastructure Ltd. and Damodar Valley Corporation.
In the affidavit filed by DVC on June 6, the corporation said that in compliance with the said order dated May 31 2022, the DVC undertakes to comply with the Order dated April 25 2022 passed by the Apex Court, whereby the Court directed that the DVC to comply with the orders dated March 25, 2022, and March 29, 2022, passed by the Calcutta High Court.
"That in these circumstances, it is respectfully submitted that the deponent shall comply with the Order dated 25.03.2022 and 29.03.2022 passed by the Calcutta High Court and Orders dated April 25, 2022, and May 31, 2022, passed by this (Apex) Court," the DVC said in its affidavit.
On May 31, the Supreme Court was inclined to grant an extension of time to DVC but with a condition which was to safeguard the interest of the Reliance Infrastructure Ltd.
The apex court on May 31 directed that the Managing Director of the Corporation to file an undertaking in this Court within one week on an affidavit stating therein that the amount, as directed by this Court by order dated April 25, 2022, would be deposited by the Corporation with the Registrar, High Court at Calcutta within eight weeks from today.
Reliance Infra had invoked arbitration in April 2017 after a dispute arose between the parties on account of delays in the completion of an EPC contract awarded by DVC for the construction of a 2 x 600 MW Coal based Power Plant in the District Purulia, West Bengal.
The arbitral tribunal ruled in favour of Reliance Infra and directed DVC to pay Rs. 898 crore to the company and also release six Bank Guarantees of Reliance Infra aggregating to Rs. 353 crore within one month from the date of the Award.
The award was challenged by DVC in the Calcutta High Court. The matter eventually reached Supreme Court.
