Retro tax arbitration: India to pay $1 4 bn to Cairn Energy orissapost.com - get the latest breaking news, showbiz & celebrity photos, sport news & rumours, viral videos and top stories from orissapost.com Daily Mail and Mail on Sunday newspapers.
New Delhi, December 23
India has been ordered to return up to USD 1.4 billion to Cairn Energy plc of the UK after the government lost an international arbitration over the retrospective levy of taxes.
The three-member tribunal, which also comprised a nominee of the Indian government, unanimously ruled that India s claim of Rs 10,247 crore in past taxes over a 2006-07 internal reorganisation of Cairn s India business was not a valid demand.
India, it said, failed to accord the claimants (Cairn Energy s) investments fair and equitable treatment under the bilateral investment protection pact the nation had with the UK, it said in a 582-page order.
Retro Tax Arbitration: India asked to pay up to $1.4 billion to Cairn Energy
India
Published: Wednesday, December 23, 2020, 16:58 [IST]
New Delhi, Dec 23: India has been ordered to return up to USD 1.4 billion to Cairn Energy plc of the UK after the government lost an international arbitration over the retrospective levy of taxes.
Representational Image
The three-member tribunal, which also comprised a nominee of the Indian government, unanimously ruled that India s claim of Rs 10,247 crore in past taxes over a 2006-07 internal reorganisation of Cairn s India business was not a valid demand.
India, it said, failed to accord the Claimants (Cairn Energy s) investments fair and equitable treatment under the bilateral investment protection pact the nation had with the UK, it said in a 582-page order.
(Representative image)
NEW DELHI: In a fresh setback to the government on retrospective taxation, an arbitration panel has unanimously ruled in favour of Cairn Energy Plc, holding that the Centre had failed to uphold its obligations under the UK-India bilateral investment treaty and international laws in seeking tax payments of Rs 10,250 crore from the company for its business reorganisation in the country.
The tribunal awarded Cairn $1.2 billion (Rs 9,000 crore), plus interest and costs, the company said in a statement after the ruling. The total damages are estimated at $1.4 billion for the government, which is studying the ruling. The government will be studying the award and all its aspects carefully in consultation with its counsel. After such consultations, the government will consider all options and take a decision on further course of action, including legal remedies before appropriate fora, the finance ministry said in a statement.
December 17, 2020
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A Georgia medical student and her boyfriend were sentenced by a Cayman Island judge to four months in jail for violating quarantine laws.
Grand Court Justice Roger Chapple handed down the sentence to 18-year-old Skylar Mack and Vanjae Ramgeet, a Cayman Island-based competitive jet skier, after overturning a previous ruling, which required 40 hours of community service and a $2,600 fine for each person, FOX News reported.
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