Reliance-Future deal: Amazon seeks revocation of licenses of anti-trust organization in India

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Reuters has seen a letter from Reuters asking Amazon to withdraw its approval for the sale of Future Retail’s $ 3.4 billion (approximately Rs. 25,470 crore) retail assets to a trusted regulator in India, claiming it was “illegally obtained” and in breach of an order suspending the deal. .

According to a letter sent by Amazon to the Competition Authority of India (CCI) last week, approval for the deal is “not valid in the eyes of the law” as the referee’s order is still in effect.

The war between the two richest men in the world, Amazon founder Jeff Bezos and Reliance boss Mukesh Ambani, represents competition for supremacy in India’s growing, nearly trillion-dollar retail market.

The winner of the fight for Future Retail, India’s second largest retailer and Amazon’s local partner, will be polarized in a competition that meets the daily needs of more than a billion people.

CCI, Amazon, Future Group and Reliance did not respond to requests for comment.

The future said the arbitrator’s suspension order was invalid but the Indian courts refused to quash it.

If the regulator agrees with the previously undeclared letter, it will be a major setback for oil and telecommunications company Reliance.

Amazon won a ban on the deal from a Singapore arbitrator last year, accusing it of violating futures contracts and preventing it from selling assets to companies including Reliance.

But the CCI later allowed the deal.

Future misled the CCI and continued to seek approval for the deal, with Amazon saying in a letter dated Wednesday that the ban was “a shameful attempt to overthrow the rule of law.”

Amazon has requested a personal inquiry from the CCI to report its case.

The letter comes as Amazon has been battling allegations of misrepresentation of facts and concealment of information while seeking unreliable approval for a 2019 deal with Future Group.

© Thompson Reuters 2021


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