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03-31-2012, 09:31 AM #1
Unitech moves court against Telenor
Realty firm Unitech has moved a district court in Gurgaon seeking an injunction against its Norwegian partner Telenor's plan to transfer its joint venture assets to a new entity.
The petition filed under Section 9 of the Arbitration and Conciliation Act also seeks to restrain Telenor's possible entry into telecom business in direct competition with Uninor.
"We confirm that Unitech Ltd has moved an arbitration application... restraining Telenor from participating in any manner or being financially interested, in any other project which competes with the business of Uninor," Unitech said in a statement.
It added that "Unitech has further sought injunction against the transfer of business (of Uninor) by Telenor to a new entity".
Unitech, which holds 32.75 per cent stake in Uninor, prayed for restraining Telenor from "acting in contravention" of the Shareholders Agreement.
Telenor holds 67.25 per cent stake in Uninor, whose telecom licences were among the 122 cancelled by Supreme Court last month. Following the cancellation of licences, Telenor accused Unitech of breach of warranties and sought damages. The estranged partners have already moved Company Law Board seeking resolution of pending issues.
Telenor has also approached Foreign Investment Promotion Board (FIPB) for seeking approval to bring in a new partner for the telecom business. It has plans to bid for 2G spectrum with a new domestic partner when the government starts its auction.
No comments could immediately be obtained from Telenor on the development.