E-commerce major Amazon has sent a notice to Future Group promoters asking them to refrain from entering into any kind of transaction with the Reliance Industries group either directly or indirectly, a source aware of the development said on Tuesday.
The notice follows reports that the Future group is in the midst of negotiations with Mukesh Dhirubhai Ambani (Reliance Industries Limited) Group (MDA Group) for the sale of its supply chain and logistics businesses.
Amazon in the notice dated June 6 to Future Group promoters said that the scheme of arrangement between Future Group and Reliance was rejected by the creditors of Future Retail Limited (FRL), but still “FRL has through a fraudulent and convoluted stratagem already handed over as many as 835 retail stores to the MDA Group and now intends to transfer the entire supply chain, warehousing and logistics business by way of the proposed transaction to the MDA Group.”
It said that the “proposed transaction is in continuation of a larger fraudulent stratagem to give effect to the impugned transaction by circumventing the binding injunctions contained in the EA (Emergency Arbitrator) order and subsequently re-affirmed by the arbitral tribunal in the tribunal order,” the notice said.
Amazon said that the said actions are contrary to statements made before courts through pleadings or otherwise.
“The element of collusion between the Future group and the MDA Group is manifested,” the notice said.
Meanwhile, the National Company Law Tribunal (NCLT) will hear Amazon's petition opposing the initiation of insolvency resolution proceedings against debt-ridden Future Retail Ltd on June 10.
A plea seeking the initiation of insolvency resolution proceedings against FRL was filed by Bank of India (BoI), the lead banker in the consortium of lenders to the company.
On Monday, the Mumbai bench of the tribunal held a virtual hearing in the matter. BoI’s petition is yet to be admitted. Against this backdrop, the tribunal on Monday said it will hear Amazon’s petition on June 10.
