Another Setback : SC rejects petition by Singh brothers against Daiichi's arbitration award
New Delhi: Another setback has come to Singh brothers as the Supreme Court today rejected their petition for seeking permission to appeal a High Court judgment allowing Daiichi Sankyo to recover about Rs 3,500 crores from them as part of an international arbitration award.
With the decision of the apex court, Singh brothers have almost worn out their legal alternative in India to block the arbitration award.
As per the Mint report, the two-judge bench consisting justice Ranjan Gogoi and justice R Banumathi said that “We are not inclined to interfere” with Delhi High Court’s judgment.
On February 7, Singh brothers had filed a special leave petition in the Supreme Court to challenge the high court decision in favour of Daiichi Sankyo after the Delhi High Court allowed Daiichi to enforce an arbitral award of Rs 3,500 crore.
Read also: Rs 3,500 crore jolt to Singh brothers as Delhi High Court upholds the arbitral award
In May 2016, Daiichi had approached the high court to recover this amount as part of an international arbitration award granted against the Singh’s for allegedly hiding the information of misconduct at Ranbaxy while selling the company to them for $4.8 billion in 2008.
Following objections to the enforcement by the Singh brothers, the Delhi High Court on January 31 ruled in favour of Daiichi.
Singh brothers were found guilty by the HC for making false claims in a self-assessment report and of unfairly misrepresenting and concealing the genesis, nature, and severity of the US regulatory investigations of Ranbaxy when Daiichi bought in 2008.
However, Singh brothers have also appealed the award in Singapore, where it was first granted in April 2016. The matter is expected to be argued by Harish Salve and Gopal Subramanium, counsels for the Singhs and Daiichi in the foreign court, respectively.