Coal Imports: Supreme Court revives probes against Adani firms
In a major setback to the Adani group, the Supreme Court on Wednesday revived Directorate of Revenue Intelligence (DRI) investigations into the alleged overvaluing of Indonesian coal imports and cornering of tax benefits and higher compensatory tariffs by two group companies between 2010 and 2016. The apex court stayed the Bombay High Court decision that quashed all letters rogatory (LRs) sent to 14 countries, including Singapore and UAE, against the two companies accused of over-invoicing of imported coal.
The HC’s October 17, 2019 order had brought to a halt an overseas investigation initiated since 2016 by DRI. An SC Bench led by Chief Justice SA Bobde has sought response from Adani Enterprises Ltd (AEL), the flagship company of the Adani group, and Adani Power Ltd (APL). Solicitor General (SG) Tushar Mehta, appearing for DRI, argued that the investigation into the matter should continue.
