Supreme Court pronounced the verdict after Ericsson dragged Anil Ambani to court after RCom failed to clear its dues despite having given an undertaking, according to the petitioner’s counsel, to pay the amount.
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The Supreme Court today held “Business tycoon Anil Ambani and Reliance Communication guilty of contempt for breaching undertakings to clear outstanding dues to Ericsson India.
Ambani and directors of the group companies, however, escaped the jail term since the court said that the contempt can be purged by making clear the dues within four weeks, along with an interest.
A bench headed by Justice Rohinton F Nariman ordered Ambani and the RCom companies to pay up Rs 453 crore with interest within four weeks. It added that the contemnors will suffer a jail term of three months and an additional penalty of Rs 1 crore if they fail to make the payment in four weeks.
The bench pronounced the verdict after Ericsson dragged Ambani to court after RCom failed to clear its dues despite having given an undertaking to pay the amount. Reliance Telecom chairman Satish Seth and Reliance Infratel chairperson Chhaya Virani were also found in contempt of court for breaching the undertaking.
The apex court also directed Reliance Communication, Reliance Telecommunication and Reliance Infratel to deposit Rs 1 crore each to the apex court’s registry in four weeks or the chairman of these companies will have to go an additional jail term of one month.
It directed that Rs 118 crore already deposited by Reliance Group in the apex court’s registry be disbursed to Ericsson within a week.
“From undertakings given by Reliance Group’s top brass, it appears they have willfully not paid the amount to Ericsson despite orders and undertakings given,” it said.