SC keeps in abeyance effect of US court order asking Antrix to pay compensation to Devas
New Delhi: The Supreme Court Wednesday kept in abeyance the effect of a recent order by a court in the USA which had asked Antrix Corporation, the commercial arm of ISRO, to pay compensation of USD 1.2 billion to Bengaluru-based startup Devas Multimedia for canceling a satellite deal in 2005.
As per the agreement in January 2005, Antrix agreed to build, launch and operate two satellites and to make available 70 MHz of S-band spectrum to Devas, which the latter planned to use to offer hybrid satellite and terrestrial communication services throughout India.
The agreement was terminated by Antrix in February 2011. Over the next several years, Devas approached various legal avenues in India. This included the Supreme Court, which directed for a tribunal adjudication.
The matter came up for hearing before a bench headed by Chief Justice S A Bobde on Wednesday.
Solicitor General Tushar Mehta, appearing for Antrix Corporation, sought an order keeping at abeyance the effect of the US court's October 27 decision.
The apex court also allowed Mehta's submission that the pending cases between the two parties be transferred to the Delhi High Court from Bengaluru.
In the October 27 order, the US court had ruled that Antrix Corporation pay compensation of USD 562.5 million to Devas Multimedia Corporation and the related interest rate amounting to a total of USD 1.2 billion.
In its lawsuit filed in the US District Court, Western District of Washington in September 2018, Devas Multimedia said three separate international tribunals and nine different arbitrators have found the termination of the Devas-Antrix agreement to have been wrongful, with one of the tribunals describing it as conduct 'which shocks, or at least surprises, a sense of juridical propriety,' and another finding it to be a clear breach of simple good faith by India.
Antrix, in November 2018, had sought the dismissal of the lawsuit citing jurisdictional issues.
On February 25, 2011, Antrix issued a termination notice to Devas, which among other things stated that the policy decision was of the central government, acting in its sovereign capacity is the event of force majeure, which was an occurrence on February 23, 2011.
Devas disputed Antrix's repudiation of the agreement and sought to conduct discussions among senior management as contemplated by that agreement.
In June 2011, Devas commenced arbitration proceedings under the Rules of Arbitration of the International Chamber of Commerce.
Antrix initially refused to participate in the arbitration and obtained an injunction from the Supreme Court enjoining the arbitration. After one year, the Supreme Court lifted the injunction, allowing the arbitration to proceed.
Thereafter, Antrix participated fully in the arbitration.
In March this year, the apex court had asked Devas Multimedia, which had won an arbitral award of USD 672 million from an international tribunal in 2015 against Antrix Corporation, to apprise it whether it was willing to waive the interest component on the amount.
The top court was then hearing an appeal of Devas Multimedia against the Delhi High Court verdict in 2018 holding that a Bengaluru court had the jurisdiction to hear the dispute as the issue was first raised there.
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Another North Goa nightclub sealed; Kejriwal says corruption led to fire tragedy
Panaji (PTI): As part of a crackdown against tourist establishments violating laws and safety norms in the aftermath of the Arpora fire tragedy, Goa authorities on Saturday sealed a renowned club at Vagator and revoked the fire department NOC of another club.
Cafe CO2 Goa, located on a cliff overlooking the Arabian Sea at Vagator beach in North Goa, was sealed. The move came two days after Goya Club, also in Vagator, was shut down for alleged violations of rules.
Elsewhere, campaigning for local body polls, AAP leader Arvind Kejriwal said the fire incident at Birch by Romeo Lane nightclub at Arpora, which claimed 25 lives on December 6, happened because the BJP government in the state was corrupt.
An inspection of Cafe CO2 Goa by a state government-appointed team revealed that the establishment, with a seating capacity of 250, did not possess a no-objection certificate (NOC) of the Fire and Emergency Services Department. The club, which sits atop Ozrant Cliff, also did not have structural stability, the team found.
The Fire and Emergency Services on Saturday also revoked the NOC issued to Diaz Pool Club and Bar at Anjuna as the fire extinguishers installed in the establishment were found to be inadequate, said divisional fire officer Shripad Gawas.
A notice was issued to Nitin Wadhwa, the partner of the club, he said in the order.
Campaigning at Chimbel village near Panaji in support of his party's Zilla Panchayat election candidate, Aam Aadmi Party leader Kejriwal said the nightclub fire at Arpora happened because of the "corruption of the Pramod Sawant-led state government."
"Why this fire incident happened? I read in the newspapers that the nightclub had no occupancy certificate, no building licence, no excise licence, no construction licence or trade licence. The entire club was illegal but still it was going on," he said.
"How could it go on? Couldn't Pramod Sawant or anyone else see it? I was told that hafta (bribe) was being paid," the former Delhi chief minister said.
A person can not work without bribing officials in the coastal state, Kejriwal said, alleging that officers, MLAs and even ministers are accepting bribes.
