Amidst the ongoing legal battle between Amazon and the Future Group, the US-based ecommerce giant has written to the Reserve Bank of India (RBI) and lenders of Future Group, alleging repeated collusion by Future Retail Ltd and banks to deny its rights, according to a report by the Mint.
In a letter, reviewed by the publication, the online retail giant said that Future Retail should not be allowed to go into bankruptcy proceedings as that would impact its rights further.
The tussle between the two companies started after Amazon claimed that Future violated the terms of a 2019 deal that the companies signed when the US ecommerce giant invested $200 million in a Future Group unit. Amazon's position has been backed by a Singapore arbitrator.
Future had in January challenged its lenders in the Supreme Court to avoid facing insolvency proceedings over missing bank payments, citing its dispute with Amazon.
In August 2020, the loss-making retail giant proposed to sell its retail, wholesale and logistics arms that included businesses, including Fashion at Big Bazaar, Koryo, Foodhall and Easyday, to Reliance for Rs 24,713 crore.
Amazon in the notice said the award of the arbitration tribunal, who it had approached to block the Reliance-Future deal, had restrained the Biyani-led firm and its promoters from directly or indirectly taking any steps to transfer/dispose/alienate/encumber retail assets in any manner without the prior written consent of Amazon.
Published 12 May 2022, 10:54 IST