Cairn moves US court for USD 1.2 billion dues
NEW DELHI: Oil and gas exploration giant Cairn Energy has filed a case in a US district court to enforce a $1.2 billion arbitration award it won in a tax dispute against India recently. According to a report from news agency Reuters citing a court document, the British firm has asked the US court to recognise and confirm the award, including payments due since 2014 and interest compounded semi-annually.
An arbitration body had in December 2020 awarded Cairn damages of more than $1.2 billion plus interest and costs. The tribunal has ruled that India breached an investment treaty with Britain and said New Delhi was liable to pay Cairn the mandated dues. This case was the biggest big arbitration loss for India and the second in quick succession. India had lost another major international arbitration case last year against Vodafone, again over a $2 billion retrospective tax dispute.
