Disposed

ONGC Ltd. v. Consortium of Sree-Meil-Vngs

Delhi HC20 Feb 2024O.M.P. (COMM)/134/2018

Case brief

AI extract

What is this about?

The Court recorded a settlement agreement between ONGC Ltd. and a consortium regarding an arbitral award under the Vivad Se Vishwas Scheme. The Petition was withdrawn, and the amount withheld by the Registry was ordered to be released to ONGC upon furnishing account details.

What did the court decide?

The petition was withdrawn. The amount of Rs. 2,42,79,41,528/- along with interest (minus TDS) be released to ONGC Ltd. upon furnishing of bank account details.

ONGC Ltd. Vs Consortium of Sree-Meil-Vngs — Company and Corporate | Delhi HC (2024)

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$~17

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* IN THE HIGH COURT OF DELHI AT NEW DELHI

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O.M.P. (COMM) 134/2018 and I.A. 4053/2024

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ONGC LTD. ..... Petitioner

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Through: Mr. Abhishek Puri, Ms. Surbhi Gupta & Mr. Sahil Grewal, Advs. (M- 9818106019)

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versus

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CONSORTIUM OF MEIL-VNGS ..... Respondent Through: Mr. Purvesh Buttan, Mr Prateek Narwar, Ms. Jaspreet Kaur, Ms. Antara Chowdhury, Advs. (M- 9910426930)

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CORAM: JUSTICE PRATHIBA M. SINGH O R D E R

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% 20.02.2024

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This hearing has been done through hybrid mode.

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The present application has been filed to place the fact that the parties have arrived at a settlement in respect of the arbitral award dated 1st February, 2018 under the Vivad Se Vishwas 2 Scheme . The Petitioner also seeks that the amount of Rs. 2,42,79,41,528/- be released along with interest by the Registry to the Petitioner.

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In terms of the said draft settlement agreement which is attached as Document P-4 with the application, the parties have agreed as under:

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“1. It is agreed between the parties to this Settlement Agreement that Oil and Natural Gas Corporation Ltd. shall pay

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a. Rs 256,71,21,965.04 (Rupees Two Hundred Fifty Six Crore Seventy One Lakhs Twenty One Thousand Nine Hundred Sixty five and paisa four only) {i.e.

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Page 1 of 3

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O.M.P. (COMM) 134/2018

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This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 23/02/2024 at 10:54:18

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65% of award amount as per VSV-II Scheme } excluding post award interest but inclusive of taxes, if any to the CONTRACTOR as per full and final settlement of all the disputes mentioned hereinabove pertaining to the above mentioned contract.

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b. Return of Bank Guarantees amounting to Rs. 2,72,32,10,036.00 submitted against LD and interest thereof

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c. Simple interest @ 9% p.a. shall be payable on Rs. 256,71,21,965.04 from 03.04.2018 till the date of acceptance by contractor.

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Thus total amount of Rs------------ ( to be determined upon acceptance of offer ) will be payable by Oil and Natural Gas Corporation Ltd. to the CONTRACTOR within one month from the date of execution of this Settlement Agreement by the Parties towards full and final settlement of the claims and disputes set out hereinabove in reference to the said contract. ”

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The terms are contained in Clauses 1 to 10 of the Draft Settlement. Ld. counsels for the parties submit that the settlement may be recorded.

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Since both counsels confirm that the settlement has been agreed upon between the parties, subject to the settlement being honoured, the disputes shall stand finally resolved between the parties and no further claims would be outstanding. The settlement would be a complete satisfaction and extinguishment of all claims and disputes between the parties under arbitral award dated 1st February, 2018.

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The Petitioner is accordingly permitted to withdraw the present petition. Parties shall be bound by the settlement entered into under the scheme.

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In view of the settlement, the amount lying with the Registry to the tune of Rs. 242,79,41,528/- along with the interest accrued thereon minus

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Page 2 of 3

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O.M.P. (COMM) 134/2018

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TDS on the interest component, be released to the ONGC Ltd. The bank account details of the ONGC shall be furnished by ld. Counsel for the Petitioner to the Registry. The application is disposed of.

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The settlement agreement may, accordingly, be executed within 30 days.

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The petition is withdrawn in view of the settlement. All pending applications are also disposed of.

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PRATHIBA M. SINGH, J.

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FEBRUARY 20, 2024 dj/ks

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Page 3 of 3

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O.M.P. (COMM) 134/2018

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ONGC Ltd. v. Consortium of Sree-Meil-Vngs

Case brief

What is this about?

What did the court decide?

ONGC Ltd. v. Consortium of Sree-Meil-Vngs

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Parties & counsel

Coram

Case details

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