Alka Verma –
Published on: August 30, 2021, at 11:25 IST
Air India asked a New York Court to dismiss a petition filed by Britain’s Cairn Energy, saying that the litigation was premature.
Air India pleaded that the petition is premature as an appeal against the arbitration award is still pending.
The petition filed by Britain’s Cairn Energy was regarding the seizure of Air India assets to enforce USD 1.2 billion Arbitral Awards against the Indian Government.
Cairn firstly moved to a Court in the US District Court for the District of Columbia where the motto was to seek confirmation of the arbitration award.
It then moved to New York Court and filed a petition there to seek the permission of Air India as a Published on: August 30, 2021, at 11:10 ISTof the Indian Government and asked to make it liable to pay the arbitral award.
Last year in December, an International Arbitration Tribunal ordered India to return the value of shares seized and sold, dividend confiscated and tax refund withheld to enforce levy.
The Indian Government has filed a petition before a seat of the International Arbitration Tribunal in The Hague, asking for a Motion to stay and a Motion to dismiss the USD 1.26 billion Arbitral Award.
Air India stated, “In effect, the Complaint (by Cairn Energy) is a premature enforcement action dressed up as a declaratory judgment action, invoking this Court’s federal jurisdiction to get a head start on executing the Award before the D.D.C. has had the opportunity to address the Republic of India’s immunity defenses and its claims that the Award is not subject to enforcement under the New York Convention,”.
“Such an attempt is improper, and the Complaint should be dismissed”, contended Air India.
Also Read: Air India has until Mid-July to contest Cairn Lawsuit in US Court
