Jet, Sahara hearing resumes before Bombay HC
The Bombay High Court on Thursday began hearing arguments on whether it has the jurisdiction to adjudicate on a dispute between Jet Airways and Lucknow-based Air Sahara over a collapsed takeover deal.
By PTI |
MUMBAI: The Bombay High Court on Thursday began hearing arguments on whether it has the jurisdiction to adjudicate on a dispute between Jet Airways and Lucknow-based Air Sahara over a collapsed takeover deal.
The Jet Airways' counsel contended before Justice D K Deshmukh that since the agreements for the deal, escrow account and pledging of shares were signed here, the High Court indeed had the jurisdiction to hear the matter.
The Supreme Court had in August transferred all petitions relating to the Jet-Sahara dispute before the Bombay High Court.
"With respect to the various clauses of the Escrow, Pledge and Guarantee agreement, we are of the view that ends of justice will be met at one court, namely Bombay High Court. This is subject to Bombay High Court having inherent jurisdiction to entertain the disputes," a Supreme Court Bench had said.
Arguments were still on before the High Court.
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The dispute relates to the failed deal for takeover of Air Sahara by Jet Airways.As part of the deal, reached in January, Jet had paid Rs 180 crore for revival of Air Sahara and Rs 500 crore in lieu of Air Sahara shares pledged with it, besides deposited Rs 1,500 crore in the escrow account opened for the purpose.
After the deal fell through over absence of regulatory clearances on June 21, Sahara moved a court in Lucknow seeking to bar Jet from operating the escrow account.
In all, four petitions (two by Sahara Group and as many by Jet) are pending in connection with the matter.
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