Sunday, July 02, 2006

Difficult for Jet Airways to prove case: Legal experts

New Delhi: Unconvinced by Jet Airways' claims to get back Rs 500 crore paid as advance for Air Sahara's takeover, legal experts say it will be difficult for India's largest airline to prove its case.
"It would solely depend on the outcome of the arbitration and who receives how much from the escrow account," senior Supreme Court lawyer Lalit Bhasin told reporters.
Bhasin, who specialises in corporate affairs, said it would not be easy for either of the two to recover the amount from the ICICI Bank (the escrow account holder).
Jet, which has already lost Rs 100 crore as 'commitment fee', in a petition filed in Supreme Court, had argued that as per the share purchase agreement, Sahara was bound to return Rs 500 crore within a week if the deal collapsed.However, Bhasin said this condition may apply only if both parties were held responsible for the deal's failure.
02/07/06 Zee News