April 28, 2017
Statement from Tata Sons
Mumbai: Tata Sons welcomes the order of the Delhi High Court today, allowing the company and NTT Docomo to implement the 22nd June, 2016, London Court of International Arbitration (LCIA) Award.
The Court allowed both the enforcement of the Award and implementation of the Consent Terms between the two entities. Tata Sons and NTT Docomo are taking further steps in terms of the order.
The Court noted that the Shareholders’ Agreement and the Arbitration Award were not opposed to any provision of Indian law or public policy. The Consent Terms too were not contrary to any Indian law, the order stated.
The Court held that Tata Sons honouring its commitment “will have a bearing on its goodwill and reputation in the international arena.”
The Court went to hold, “It will indubitably have an impact on the foreign direct investment inflows and the strategic relationship between the countries where the parties to a contract are located.”
Tata Sons had announced in February this year that it had reached an agreement with NTT DOCOMO. Today’s order entails Tata Sons and its nominees remitting the $1.18 billion, already deposited with the Registrar of the Delhi High Court, to DOCOMO, and DOCOMO transferring all its shares in Tata Teleservices Limited.