Latest news with #RIChagla
Time of India
16-07-2025
- Business
- Time of India
ICICI Bank challenges MIAL's Rs 3,240 crore rights issue over contractual violations
Mumbai: ICICI Bank has challenged the proposed rights issue of Mumbai International Airport (MIAL) on the grounds that it violates prior contractual agreements and risks diluting lenders' interests, said people with knowledge of the matter. The bank's contention is that the rights issue will dilute the value of shares pledged against loans worth $1.25 billion that had been given to the GVK Group , which used to own MIAL. The Adani Group took over MIAL from GVK in 2021. ICICI Bank, acting through its Bahrain branch as facility agent for a consortium of lenders, has filed a suit in the Bombay High Court seeking to restrain MIAL from proceeding with the ₹3,240 crore rights issue, according to a copy of the petition filed by the bank early this month and reviewed by ET. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Play War Thunder now for free War Thunder Play Now Undo Agencies The bank alleged that the issue breaches the terms of an interim solution undertaking (ISU) and a share pledge agreement signed in 2017, which prohibit any dilution of pledged equity without the lender's consent. The matter is scheduled for hearing on July 21 before justice RI Chagla. ICICI Bank, GVK and Adani did not respond to ET's queries. The dispute stems from two loan facilities extended to GVK Coal Developers (Singapore). The first, amounting to $1 billion, was provided in September 2011. The second, of $250 million, was in March 2014, the petition stated. Bank of Baroda , Bank of India , Indian Overseas Bank and Canara Bank are among the other lenders involved. Live Events These loans were secured by a pledge of 32% equity in GVK Airport Holdings (GVKAHL), representing a 16.16% indirect stake in MIAL. GVKAHL holds a 50.5% stake in MIAL, Adani Airport Holdings holds 23.5%, and the Airports Authority of India has 26%. The rights issue is being offered in a 27:10 ratio. GVKAHL is now part of the Adani Group. ICICI Bank contends that the proposed rights issue would reduce this pledged stake to about 4.37%, undermining the security provided under the loan agreements. The rights issue, approved by MIAL's board on June 12, offers 3.24 billion equity shares at `10 each to existing shareholders. ICICI Bank says that GVKAHL informed the bank of its decision not to subscribe to issue just five days before what was to have been the offer's closing date of July 5, citing lack of funds. The bank alleges this delay was deliberate and prejudicial to the lenders' interests. The bank also raised concerns that the issue price of Rs 10 per share does not reflect fair market value and is instead the minimum permissible price. MIAL is not listed. Senior counsel Venkatesh Dhond and Siddharth Ranade, partner of law firm Trilegal, are representing lenders. Senior advocate Vikram Nankani and law firm Rashmikant and Partners are representing some respondents. The ownership structure of MIAL changed in 2021, when Adani Airport Holdings, a unit of Adani Enterprises, bought 97.97% of GVK Airport Developers, parent of GVKAHL. The bank has sought a permanent injunction against the rights issue and interim relief to prevent any share allotment or action that could affect the pledged equity, the petition stated. It has also asked that any subscription received for the rights issue should be kept in a separate account until the matter is resolved, it added.
India.com
19-06-2025
- Business
- India.com
Bad news for BCCI, set to pay Rs 5380000000 to this IPL team due to...
In these collection of pictures, we find out the reason why the BCCI has suffered a massive financial loss after the decision by Bombay High Court. Image credit: X (Formerly Twitter) Kochi Tuskers Kerala participated in IPL 2011 season. Kochi Cricket Pvt. Ltd. was a consortium of multiple owners. Image credit: X (Formerly Twitter) Former IPL chairman Lalit Modi and BCCI terminated Kochi Tuskers Kerala contract in 2012 due to alleged breach in contract. Image credit: X (Formerly Twitter) Arbital Tribunal had ordered BCCI to pay Rs 538 crore to Kochi Tusker Kerala owners KCPL. It awarded over Rs 384 crore to KCPL and ordering the return of over Rs 153 crore to RSW along with interest and costs. Rendezvous Sports World (RSW) was consortium who had bought the IPL team. Image credit: X (Formerly Twitter) BCCI had challenged the order of Artbital Tribunal. arguing that the tribunal had acted beyond its powers and misapplied the law. It maintained that KCPL's failure to submit the bank guarantee was a fundamental breach of the agreement, justifying termination. Image credit: X (Formerly Twitter) Bombay High Court held that the arbitrator's findings were well-reasoned and supported by records. It ruled that BCCI had, by its conduct, waived the strict requirement for furnishing the guarantee by March 2011. Image credit: X (Formerly Twitter) Single-judge Justice RI Chagla rejected BCCI's challenge on Wednesday to the Rs 538 crore award and said that the Bombay High Court cannot sit in appeal over the arbitrator's findings.
India Today
18-06-2025
- Business
- India Today
BCCI loses Rs 538 crore arbitration case to defunct IPL team Kochi Tuskers
The Bombay High Court on Tuesday dismissed two petitions filed by the Board of Control for Cricket in India (BCCI), challenging arbitration awards that directed it to pay over Rs 538 crore to the now-defunct IPL franchise Kochi Tuskers judgment comes as a major setback for the cricket board, which has been contesting the award for nearly a RI Chagla, while pronouncing the verdict, said there was no patent illegality in the 2015 arbitration order that warranted interference from the High Court. However, the court granted BCCI two more weeks to appeal against the ruling. The court noted that the awards had been under conditional stay for several years and extended the time to allow the Kochi Tuskers to initiate recovery of the awarded case dates back to disputes arising from franchise agreements that Kochi Cricket Private Limited (KCPL) and Rendezvous Sports World (RSW) had entered into with the BCCI. RSW had won the bid for the Kochi IPL franchise in 2010, submitting a bank guarantee of Rs 153.34 an interim franchise agreement was signed in April 2010, it was later transferred to KCPL in November that year following the creation of the joint began after KCPL allegedly failed to deliver the requisite bank guarantee by March 2011. BCCI subsequently terminated the franchise agreements with KCPL and RSW on September 19, 2011. In response, the Kochi franchise owners invoked arbitration in June 2015, the arbitrator directed BCCI to pay KCPL Rs 385.5 crore along with 18 percent annual interest. In RSW's case, BCCI was ordered to pay Rs 153.34 crore with similar interest terms, beginning from the date of the alleged wrongful termination of the represented by senior advocate Rafiq Dada, argued that the arbitrator had overlooked key clauses related to deadlines for submission of guarantees and changes to contract terms. However, the High Court said the arbitrator had correctly interpreted the evidence and contractual terms.'The conclusion of the arbitrator that BCCI had wrongfully invoked the bank guarantee, amounting to a repudiatory breach, calls for no interference,' Justice Chagla court held that the arbitration findings were well reasoned and that the challenge raised by the BCCI lacked Watch
