The tribunal’s decision could damage India’s reputation with global investors.
Advertisement
The contract between Antrix Corporation and Devas Multimedia Private Limited was signed on January 28, 2005, during G Madhavan Nair’s tenure as the Chairman of ISRO.
In an arbitration case involving Indian Space Research Organisation (ISRO) and Devas Multimedia saw, the government of India has lost the case in the global tribunal.
In 2015, Antrix was slapped a fine of about Rs 4,400 crore ($672 million) by International Arbitration Court for unilaterally terminating the contract with Devas. The deal was aimed to help Devas provide internet in remote locations in the country. Devas, based in Bengaluru, had signed the deal for S-band transponders in G-SAT6 and G-SAT6A satellites for digital broadcasting of audio service. Devas was to pay $300 million over the said period.
In December 2009, The Isro constituted the BN Suresh Committee to review the agreement and the committee submitted its report in June 2010.
India has to pay 1 billion as per the verdict was given by The Hauge.
September 2, 2011: Chaturvedi committee submits report.
The tribunal said in its judgement that the Indian government was unfair in cancelling the contract, as this caused undue losses to several companies that had put huge amounts of money in Devas Multimedia.
Advertisement
February 23, 2012: Delhi HC tells government not to take “coercive steps” against Devas. Following this, Devas sought relief through arbitration.
