Ambani war on Haryana SEZ intensifies on week-end

New Delhi, Jun 24 (UNI) Part-two of the Ambani war intensified today with Mr Anil Ambani objecting to building an airport within the Mukesh Ambani-controlled SEZ in Haryana, on the ground that the airport business was reserved for the Anil Dhirubhai Ambani Group (ADAG), as per the Non-Compete Agreement between the two brothers.

Mr Anil Ambani has already shot off a letter to the Mukesh Ambani-controlled Reliance Industries and the Haryana State Industrial Development Corporation pointing out that the power plant within the Rs 40,000 crore SEZ violates the NCA signed after the split.

''As per the agreement executed on June 18, 2005, airports are reserved for the ADA Group'', a source in ADAG Reliance Energy said. However, an official in the Mukesh Ambani Group said that for the Reliance Industies, it is a non-issue. ''Reliance has fulfilled all its committments and obligations. It will follow the same principles in future as well'', he said.

But a source in the Anil Ambani group said the RIL/MDA Group cannot enter the airport sector for the following reasons: As per the Agreement executed on June 18, 2005, Airports are reserved for ADA Group; and the Non-Compete Agreement dated January 12, 2006, is ''irrelevant'' because it was wrongfully executed by RIL/MDA group, while the ADA group companies were still under the control of RIL/MDA group.

He said the argument of RIL/MDA Group that airports in SEZ can be built by them is untenable, because firstly there is no such exception provided in the agreement of 18th June 2005; and secondly it is in any case ''completely misleading and false'' to say that building an airport is necessary, integral, or incidental to development of an SEZ. ''This is only a devious argument by RIL/MDA group to wrongfully enter a business reserved for ADA group''.

The Reliance Energy source said an airport in an SEZ can ''by no stretch of the imagination'' be treated as a captive use for RIL/MDA group's own business, because it would obviously be used by all occupants of the SEZ.

Besides a 2000 MW power plant, the Reliance SEZ in Gurgaon, agreement for which was signed in Chandigarh on June 19, would include building a cargo airport.

Incidentally, the ADAG had made a bid for the modernisation of the Delhi Airport. While he could not get the Delhi airport, his brother would enter the lucrative cargo airport in the Delhi periphery through the SEZ route.

UNI PC RA HS1932