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Why is Cairn attacking Indian assets?

Posted: Sat Jul 12, 2025 5:37 am
by anglehimu
Indeed, the Supreme Court had ruled against the retrospective reading of the law by tax officials in the Vodafone case. However, Parliament passed a law allowing retrospective taxation on the “transfer of Indian assets”.

This retrospective imposition, Cairn argued, was in violation of the bilateral investment treaty between the UK and India, which contained a standard clause requiring India to treat UK investments “fairly and fair ”.

In December last year, a three-member international arbitral tribunal phone number library unanimously ruled that the Indian government was “in violation of the guarantee of fair and equitable treatment”, and against India’s bilateral investment treaty. -United Kingdom, and that the breach caused a loss to the British energy company and ordered compensation of $ 1.2 billion.

The Indian government has not yet accepted the arbitration award. Cairn Energy is attacking Indian assets abroad to recover compensation. In May, Cairn began the process of extracting the $ 1.2 billion.

Why did India not accept the award?
Since the award was made in The Hague, India has appealed to the Netherlands. A similar arbitration verdict was handed down in September last year in favor of Dutch telecommunications company Vodafone. The award demands that India pay Vodafone $ 5.47 million as partial compensation.