Skip to content
Search

Latest Stories

Cairn Energy moves UK, Netherlands courts against India

Cairn Energy moves UK, Netherlands courts against India

BRITAIN's Cairn Energy has filed cases against the Indian government in the UK and the Netherlands courts to get $1.4 billion it had won in a tax dispute against the country.

The company filed a petition in a Washington DC federal court on February 12. It also plans to move a Canadian court soon, reported PTI.


In a petition, Cairn Energy and its UK holding company sought the US district court for the district of Columbia to recognise and confirm the December 21 award by a three-member tribunal at the Permanent Court of Arbitration at The Hague.

According to reports, no enforcement action is planned for now and the company is waiting for a formal response from the Indian government on honouring the award.

The shareholders of Cairn including BlackRock, Fidelity, Franklin Templeton, Schroders and Aviva have forced the company to take action to recover the amount, after waiting for seven years for resolution of the tax issue.

Registration of an arbitration award is the first step before any entity can file a petition in court for seizure of any asset to recover the amounts awarded.

Cairn chief executive Simon Thomson has sought a meeting with finance minister Nirmala Sitharaman this week to discuss the arbitration award.

It is reported that finance secretary Ajay Bhushan Pandey is likely to meet him.

Last month, the Edinburg-based firm had written to the government saying it would be forced to seize Indian government assets if New Delhi fails to pay $1.4bn after losing a dispute over retrospective taxes.

An international tribunal had in December unanimously ruled that India violated its obligations under the UK-India Bilateral Investment Treaty in 2014, when the income tax department slapped a $1.4bn tax assessment using legislation that gave it powers to levy taxes retrospectively.

The tax department also seized Cairn's residual 10 per cent stake in Cairn India.

In a ruling, the tribunal ordered New Delhi to pay $1.2bn in damages, plus interest and costs, to compensate Cairn for the shares — long sold off by the tax department — as well as confiscated dividends and withheld tax refunds. This totals $1.4bn.

Cairn gave the country its biggest onland oil discovery in Rajasthan. It also developed the Ravva oil and gas field off the Andhra coast and smaller discoveries in Gujarat.

"The award can be enforced against Indian assets in numerous jurisdictions around the world for which the necessary preparations have been put in place," the company said in a letter to the Indian government.

Earlier this month, minister of state for finance Anurag Singh Thakur had told Lok Sabha that the Cairn arbitration award was 'under consideration of the government.'

In 2011, Cairn Energy sold Cairn India to mining billionaire Anil Agarwal's Vedanta Group, barring a minor stake of 9.8 per cent.

It wanted to sell the residual stake as well but was barred by the I-T department from doing so. The government also froze the payment of dividends by Cairn India to Cairn Energy.

More For You

Reconnecting with lost Eid traditions

Bring the past into the present for a richer celebration

Reconnecting with lost Eid traditions

EID is a joyous time filled with unity, reflection, and celebration.

While the essence of the celebration has remained unchanged across centuries, the way this special day is celebrated has evolved, with many older traditions being replaced by modern practices and technological advancements.

Keep ReadingShow less
Andrew Tate Sued by Ex-Girlfriend Brianna Stern Over Sexual Assault Allegations

Tate’s attorney, Joseph McBride, has dismissed the lawsuit

Getty

Andrew Tate faces sexual assault lawsuit from ex-girlfriend Brianna Stern

Social media personality Andrew Tate is facing a new lawsuit from his ex-girlfriend, Brianna Stern, who has accused him of sexual assault, battery, and gender violence. The lawsuit, filed in Los Angeles, details allegations of abuse and an incident that allegedly took place at The Beverly Hills Hotel on 11 March 2025.

Allegations in the lawsuit

According to the legal complaint, Stern claims that Tate initially appeared as a "dream come true" but later became emotionally and physically abusive. The lawsuit describes a violent encounter at the hotel, where she alleges Tate physically assaulted and threatened her.

Keep ReadingShow less
Mohanlal's 'L2:Empuraan' to get major edits after India's Hindu right wing protests

Empuraan faces backlash as filmmakers make 17 edits, including cutting violent scenes

Instagram/empuraanmovie

Mohanlal's 'L2:Empuraan' to get major edits after India's Hindu right wing protests

Director Prithviraj Sukumaran has been asked to make edits to his latest film, L2: Empuraan, following claims that certain scenes and dialogues hurt public sentiments. Producer Gokulam Gopalan confirmed that adjustments are being made to address concerns raised by some viewers.

Speaking to Manorama Online, Gopalan explained, "If any scenes or dialogues in Empuraan have offended people, I have told Prithviraj to make necessary changes." Some words have already been muted, and additional modifications are planned. The decision comes after protests over certain elements in the film, despite it having cleared the censorship process without issues.

Keep ReadingShow less
Voices of Faith 2025: A journey through spirituality and wisdom

Soumik Datta (R) and Gurdain Singh Rayatt

Voices of Faith 2025: A journey through spirituality and wisdom

Mahesh Liloriya

The inaugural edition of Voices of Faith commenced on Friday at the iconic Barbican Centre, Silk Street, London, marking the beginning of an extraordinary three-day festival exploring theological philosophies, interfaith dialogues, and the deeper essence of spirituality through conversations, music, and healing vibes.

Organised by Teamwork Arts, the creators of the Jaipur Literature Festival (JLF) and JLF London, Voices of Faith is presented by the Kamini and Vindi Banga Family Trust, with the support of Tech Mahindra. Eastern Eye and Garavi Gujarat serve as the official media partners of this landmark event. This unique festival seeks to offer insights into navigating the complexities of modern life through the timeless wisdom enshrined in global religious traditions. It focuses on the universal ideals of compassion and interconnectedness that underpin the world’s faiths, fostering dialogue that transcends barriers and deepens mutual understanding.

Keep ReadingShow less
Indian and American investors delay Hundred deals: report

FILE PHOTO: The Oval Invincibles celebrate after The Hundred Final between Oval Invincibles and Southern Brave at Lord's Cricket Ground on August 18, 2024. (Photo: Getty Images)

Indian and American investors delay Hundred deals: report


THE England and Wales Cricket Board (ECB) has extended the deadline for finalising the £520 million sale of The Hundred franchises after pushback from several prospective owners, particularly the Indian and American investors behind the two London teams.

The eight-week exclusivity window agreed in February has passed without contracts being signed, with negotiations now expected to continue until at least the end of April. While all parties remain committed to completing the deals, several key issues remain unresolved, the Telegraph reported.

Keep ReadingShow less