Government to be party to RIL-RNRL gas dispute case
21 Oct 2008
Mumbai: The Bombay high court has allowed the central government to be a party in the RIL-RNRL case over gas supply from the Krishna Godavari basin gas fields in the east coast after groups belonging to both brothers Anil Ambani and Mukesh Ambani said they had no problem to the government being a party in the matter.
Consuls for Anil Ambani group company Reliance Natural Resources Ltd, which was earlier opposed to allowing government to intervene, today said they have withdrawn their opposition.
The hearing of the case is now likely to continue after Diwali vacation.
Anil Ambani's RNRL is locked in a dispute over terms of the gas supply master agreement with Mukesh Ambani-led RIL whereby RIL is to supply gas for RNRL's power projects.
Court will pass the formal order impleading the government as the third party to the case tomorrow.
The government counsel had endorsed RIL's stand that price must have government's approval. The government's entry into the litigation is likely to further delay the hearing.