The Government on Sunday said that it can consider an amicable solution to the Cairn dispute. It also said that the CEO and the representatives of Cairn Energy have approached the Centre for discussions to resolve the matter.
In a statement issued by the Finance Ministry, it also vehemently denied reports claiming that it asked state-owned banks to “withdraw funds from foreign currency accounts abroad in anticipation of the potential seizure of such accounts with regard to the Cairn legal dispute”.
“Government of India is vigorously defending its case in this legal dispute. It is a fact that the Government has filed an application on March 22, 2021, to set aside the highly flawed December 2020 international arbitral award in The Hague Court of Appeal,” the ministry said.
After winning the appeal in an arbitration tribunal in The Hague, the Scottish firm has threatened to seize Indian sovereign assets overseas which it can do so in the event of New Delhi failing to return over $1.7 billion that the arbitration tribunal has ordered after rescinding a retrospective tax demand.
The Government has filed an appeal against the order but the UK based Energy firm has started identifying Indian assets overseas, including bank accounts, that could be seized in the absence of a settlement, which Cairn says it is still pursuing.