This ad will auto close in 10 seconds

Moily meets PC on annulment of Antrix-Devas deal

Last Updated: Friday, February 18, 2011 - 21:55

New Delhi: A day after the government
decided to scrap the Antrix-Devas S-Band spectrum allocation
deal, Law Minister M Veerappa Moily on Friday met Home Minister P
Chidambaram discussing legal ramifications of the move against
the backdrop of the private company threatening to sue the
Law Minister M Veerappa Moily is understood to have met
Home Minister P Chidambaram this evening to discuss the
possible legal ramifications of the annulment.

Solicitor General Gopal Subramanium was also present
in the meeting, sources said.

The three are learnt to have discussed the possibility
of Devas approaching an international court of arbitration
abroad and the ways to deal with the possible legal battle.

Devas Multimedia had threatened to move court if the
government took any unilateral decision to terminate the deal.

"Even if they go to court, they are not likely to
succeed," Moily had said yesterday when asked whether the
government was ready to face the legal challenges put up by
The Cabinet Committee on Security (CCS), at a meeting
chaired by Prime Minister Manmohan Singh yesterday, had
decided to annul the contract Antrix -- the commercial arm of
ISRO -- had entered into with private company Devas Multimedia
under which it was to lease out 90 per cent transponders on
two of ISRO`s satellites GSAT-6 and GSAT-6A.

Under the agreement signed in January 2005, Devas was to
lease transponder capacity from the two satellites at a cost
of USD 300 million (approximately Rs 1350 crore) spread over
12 years.

Some estimates said the deal was heavily undervalued.


First Published: Friday, February 18, 2011 - 21:55

More from zeenews

comments powered by Disqus