Summary
After substantial payments during an execution appeal, the Supreme Court resolved the remaining interest dispute at both sides’ request without deciding the Delhi High Court’s territorial jurisdiction. It directed payment of a rounded lump sum of Rs.600 crore based on eight per cent simple interest, with a specified deadline and conditional final settlement of claims under the two conciliation agreements.
Issues
- How to conclude the remaining interest dispute after the principal settlement liability had been discharged during the appeal.
- Whether the execution-jurisdiction questions still required decision.
Held
- Payments of approximately Rs.1610 crore discharged the liability up to the agreed due date, leaving interest from 10 November 2012 for determination. Both sides requested final resolution in the appeal. (¶¶ 22, 23, 24, 26, 27, 29)
- The Court expressly found it unnecessary to decide the legal questions concerning the Delhi High Court’s jurisdiction over execution. (¶¶ 28, 29)
- Interest was assessed at eight per cent per annum on the principal Rs.1610 crore from 10 November 2012. A rounded lump sum of Rs.600 crore was directed in full and final satisfaction of the amounts due under the two agreements, payable within twelve weeks. (¶¶ 30, 31)
- The Rs.800 crore demand drafts were to be handed to STC. Payment of the additional Rs.600 crore by 28 February 2019 would finally settle claims arising from the agreements and close the indicated pending proceedings; default would attract the stated contempt consequence and liberty to act for non-compliance. (¶ 31)
Result
Appeal, pending applications and contempt petitions disposed of with payment directions: release Rs.800 crore drafts to STC and pay Rs.600 crore interest within twelve weeks, by 28 February 2019, subject to the stated settlement and default consequences.