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SC holds Anil Ambani guilty of contempt, give month to pay dues to Ericsson or face jail

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[vc_row][vc_column][vc_column_text]Reliance Communications (RCom) chairman Anil Ambani and two directors in his company were today (Wednesday, Feb 20) held guilty of contempt by the Supreme Court for failing to pay Rs 550 crore dues owed to Swedish telecom giant Ericsson despite court orders and their undertaking to the court.

A bench of justices RF Nariman and Vineet Saran asked Ambani and the two directors to pay Rs 453 crore to Ericsson within four weeks, failing which they would face three months’ jail term.

The court also imposed a fine of Rs 1 crore each on them and if the amount is not deposited within a month, then 1-month jail will be awarded. The other two directors are Reliance Telecom chairman Satish Seth and Reliance Infratel chairperson Chhaya Virani.

It directed that Rs 118 crore already deposited by Reliance Group in the apex court’s registry be disbursed to Ericsson within a week.

The Court further held that the unconditional apology given by Reliance cannot be accepted, in light of its cavalier attitude towards the highest Court of the land.

RCom shares price dropped as much as 9.2 per cent to Rs 5.45 after the court order.

The court had reserved its judgment last week after hearing the two sides, during which senior advocate Dushyant Dave, representing Ericsson India in the case, had invoked the Rafale deal to target Ambani.

“They have money for Rafale. Somebody who is getting involved in every conceivable project has no money to pay Rs 550 crore to us and honour this Court’s order,” he told the bench. This was opposed vehemently by senior advocate Mukul Rohatgi, representing Anil Ambani

“To say that Anil Ambani gave a personal undertaking and that it was unconditional is a travesty of justice … It was conditional,” Rohatgi said. Rohatgi told the bench that the sale which was expected to net Rs 18,100 crore brought in only Rs 780 crore.

Dave submitted that this money from the sale was given to the Department of Telecommunications instead of Ericsson. Rohatgi replied that lenders had done this to keep the telecom licence alive as without that, there would be nothing.

He told the top court that with the failure of its assets sale deal with elder brother Mukesh Ambani-led Reliance Jio, Anil Ambani’s company has entered insolvency proceedings and is not in control of the funds.

RCom had told the court they had tried to move “heaven and earth” to ensure Ericsson gets its due but was unable to do so due to failure of assets sale deal with Jio.

However, the Supreme Court Bench slammed Ambani for his “cavalier attitude” and “wilful disobedience” of the court’s earlier orders to pay the dues Reliance Communication owed to Swedish telecom Ericsson company.

The court said it wasn’t sending Ambani to jail straight away, despite finding him guilty of contempt and willful disobedience of its orders because the bench felt that “the contempt can be purged by clearing the payments with interest.”

CJI Gogoi sacks two SC officials for changing order on contempt case against Anil Ambani

The Bench dismissed their “unconditional apology” for disobeying the orders of the highest court of the country.

“RCom had no intention to abide with the undertakings… Undertakings were false to the knowledge of the RCom and group companies. This amounts to contempt of court,” Justice Nariman said while reading out the judgment.

The contempt petition was filed by Ericsson, contending that Reliance had committed gross contempt by disobeying orders of the Supreme Court, which had directed it to pay Rs. 550 crores to Ericsson towards settlement of dues.

On August 3, the Supreme Court had ordered that the payment of Rs. 550 crore be made on or before September 30.

Subsequently, Reliance sought an extension of time for making the payment, which was allowed by the Supreme Court. On October 23, the Court said that as a “last opportunity”, it will allow Reliance to make the payment along with interest before December 15, 2018.

Before the expiry of the said date, Reliance once again filed an application for extension of the deadline, but the same was withdrawn on December 14 after it realized that the Court was not inclined to entertain the application.

Ericsson thereafter sought the initiation of contempt proceedings against Reliance Communications and Anil Ambani for violation of the Supreme Court orders of August 3 and October 23.

In the petition filed through advocate Bhargava V Desai, Ericsson had prayed that Anil Ambani, Chairperson of Reliance Communications, be detained in civil prison till the dues along with interest are cleared.[/vc_column_text][/vc_column][/vc_row]

India News

Mamata Banerjee warns BJP, EC over Bengal polls, says they will be accountable

Mamata Banerjee holds BJP and Election Commission responsible for any incidents during Bengal polls, raising concerns over officer transfers.

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West Bengal Chief Minister Mamata Banerjee has held the Bharatiya Janata Party (BJP) and the Election Commission of India responsible for any untoward incidents in the state during the upcoming assembly elections, following the transfer of key officials.

Addressing concerns over administrative reshuffles, Banerjee said that changes involving senior bureaucrats, including the chief secretary and home secretary, could affect governance and law and order in the state during a crucial period.

The Trinamool Congress chief also announced candidates for 291 constituencies for the elections scheduled to be held in two phases on April 23 and 29.

Criticising the Election Commission, Banerjee alleged that the transfers were being carried out in a manner that benefits the BJP. She questioned the timing of the decisions and said such actions weaken the state administration at a sensitive time.

She further raised concerns about disaster management and essential services, stating that experienced officials familiar with the state’s situation have been replaced. According to her, this could impact administrative efficiency if any emergency arises before the new government is formed.

Protecting Bengal’s identity

Banerjee emphasised that the election is not merely about forming a government but about safeguarding Bengal’s identity and existence. She accused the BJP of misusing central agencies and attempting to influence the electoral process.

She urged that elections should be conducted peacefully, without external interference, and in line with democratic principles. The chief minister also expressed confidence that her party would return to power with a stronger mandate.

Appealing to voters, she called for support for the Trinamool Congress, asserting that the people of Bengal will ultimately decide the outcome and protect their democratic rights.

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Centre assures action on LPG supply disruption, court closes distributors’ plea

The Bombay High Court closed a plea by LPG distributors after the Centre assured diplomatic efforts to stabilise supply amid global disruptions.

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LPG cylinder

The Union government on Tuesday informed the Bombay High Court that it is taking diplomatic steps to address disruptions in Liquefied Petroleum Gas (LPG) supply linked to the ongoing Iran-Israel conflict, following which the court disposed of a petition filed by LPG distributors.

Appearing before the Nagpur bench, Solicitor General Tushar Mehta said the Centre was actively engaged in international-level negotiations to stabilise LPG supply. However, he noted that specific measures could not be disclosed due to their sensitive nature.

The matter was heard by a division bench comprising Justices Anil S Kilor and Raj D Wakode. The bench accepted the government’s assurances and closed the plea.

Distributors flagged supply disruption in Vidarbha

The petition was filed by six LPG distributors, including Omkar Sales, who raised concerns over disruptions in supply chains across Maharashtra’s Vidarbha region. They claimed the situation had led to a significant shortage of LPG for domestic consumers.

The distributors, dependent on Confidence Petroleum India Ltd (CPIL), alleged that despite directives prioritising domestic consumption, LPG was being diverted for export to capitalise on high international prices.

Government cites policy compliance, CPIL denies diversion

The petitioners referred to recent orders issued under the Essential Commodities Act and the Natural Gas (Supply Regulation) Order, 2026, which mandate prioritising household LPG supply during crises.

However, CPIL rejected the allegations, stating it was fulfilling pre-existing export commitments and had not violated any policy norms.

Court had earlier termed issue ‘serious’

During earlier hearings, the court had described the matter as “serious” and of “grave importance”, issuing notices to the Centre and the Ministry of Petroleum and Natural Gas.

On Tuesday, the Centre reiterated that macro-level supply challenges arising from global geopolitical tensions were being handled through diplomatic channels. It also said that any localised supply issues could be resolved by state authorities.

Taking note of these submissions, the bench disposed of the petition.

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Om Birla likely to move motion to revoke suspension of 8 opposition MPs today

The Lok Sabha is likely to revoke the suspension of eight opposition MPs today, with a motion expected to be moved by the government following consensus on maintaining discipline.

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Om Birla

The suspension of eight opposition Members of Parliament in the Lok Sabha is expected to be revoked on Tuesday, with Speaker Om Birla likely to initiate the process, according to sources.

The MPs, including seven from the Congress and one from the CPI(M), were suspended on February 3 for unruly conduct during the first phase of the Budget session after a resolution was adopted by the House.

Motion to be moved in Lok Sabha

Congress leader K Suresh said that Parliamentary Affairs Minister Kiren Rijiju is expected to move a motion around noon seeking revocation of the suspensions.

Although the suspension was initially imposed for the entire session, scheduled to conclude on April 2, opposition parties have consistently demanded reconsideration since the second phase of the session began on March 9.

Agreement on maintaining decorum

At a recent meeting convened by the Speaker, both ruling and opposition sides reportedly agreed on maintaining discipline in the House.

Key understandings include:

  • No member will enter the well of the House to protest
  • Papers will not be torn or thrown toward the Chair
  • MPs will not climb onto officials’ tables

The Lok Sabha Secretariat has also reminded members to keep areas within the Parliament premises obstruction-free to ensure smooth movement.

Speaker raises concern over conduct

Earlier, Om Birla had expressed concern over the use of banners, placards, and inappropriate language by some MPs. In a letter to party leaders, he stressed the need to uphold the dignity and traditions of parliamentary democracy.

He had also indicated that actions like suspension are taken in cases of serious misconduct, such as climbing onto tables during proceedings.

Suspended MPs

The suspended MPs include Gurjeet Singh Aujla, Hibi Eden, C Kiran Kumar Reddy, Amarinder Singh Raja Warring, Manickam Tagore, Prashant Padole, Dean Kuriakose (Congress), and S Venkatesan (CPI-M).

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