Devas Multimedia shareholders will continue to seize Indian overseas assets
NEW DELHI: Unfazed by the Supreme Court’s ruling upholding the company’s liquidation, Devas Multimedia shareholders will continue to seek the seizure of Indian government assets overseas to raise $1.2 billion. open to talks to settle the matter, their attorney said.
“The Supreme Court decision does not change anything. The Modi government and the Indian courts cannot rewrite the facts. Their slight allegations of fraud will never stand up in court outside India,” said Matthew D McGill, Partner at Gibson, Dunn & Crutcher and lead counsel for several Devas shareholders. “A better approach for the Modi government would be to return to the negotiating table and continue the settlement talks.”
Devas shareholders are suing Indian assets overseas to recoup the rewards and won a French court order to freeze Indian properties in Paris and obtained partial rights to funds maintained by Indian funds in Canada.
“We have already secured liens or obtained seizure and garnishment orders on tens of millions of dollars of Indian state assets,” a Devas Multimedia spokesperson said. “We will continue to identify and seize state assets wherever we find them until India returns to the negotiating table in good faith.”
As well as securing a Paris property freeze from the Indian government, they secured an order from a Canadian court for the seizure of around $23 million that Air India had with IATA, the gatekeeper said. -word.
Last week, Finance Minister Nirmala Sitharaman said the government would use the Supreme Court’s ruling calling the 2005 Antrix-Devas deal a fraud to counter the seizure of its overseas properties.
“The Modi government’s strategy is not rocket science. They will use the Supreme Court decision to uphold the NCLT liquidation order to sue Devas, worldwide, however, we are ready. Courts around the world will see through these sham proceedings,” the spokesperson said.
Antrix Corporation, the government-owned commercial arm of the Indian Space Research Organization (ISRO), has signed an agreement with Bengaluru-based Devas Multimedia for a 12-year lease of 90% transponder space on two satellites , G-SAT6 and G-SAT6A which had not yet been launched.
Of the 150 MHz of space that ISRO had in the S-band spectrum, Devas was allowed to use 70 MHz to launch satellite applications on mobile devices. Devas, which had a few former ISRO scientists in its leadership, was supposed to pay $300 million to Antrix over a 12-year period.
The deal was called off in 2011 after allegations that it was a quid pro quo “love deal” surfaced. In 2014, the CBI and the Enforcement Directorate were asked to investigate the deal. —PTI