Maritius Government sends notice to PM Modi over Indutech Zone

Amravati Feb 23: In a Major Embarrassment for Government of India, International Court of Justice has issued notices to PM Modi and others for arbitration in the InduTech Zone Investments case. The Notice was served after Mauritius government has filed a Petition in ICJ.

Earlier the CBI had chargesheeted Andhra opposition leader Jagan Mohan Reddy in a scam involving the land earmarked for the purpose. The proposed SEZ was put off after Indu Shyam Prasad Reddy, who was contracted to develop the SEZ, had mortgaged the land to raise loans and laundered part of it.

Currently, Carissa Investments LLC of Mauritius, which holds 49% stake in InduTech Zone had approached the Mauritius government, which took up the case for arbitration under the case under a bilateral treaty for the protection of investments.

The Officials have said that "A legal notice has been served by the Mauritius government in the name of PM Narendra Modi, stating that Carissa LLC has been cheated. The claimant, Carissa LLC, said the claim would be over $50 million and sought arbitration. In the notice, the Mauritius government has quoted United Nations Commission on International Trade Law Model Law on Commercial Arbitration."

They have added that "The Mauritius government said it is a breach of bilateral investment treaty that promised protection of investments. With the CBI and ED cases pending, the project failed to take off and resulted in the loss of investments for Carissa. International Court of Justice sent a notice to India seeking appointment of an arbitrator. The Centre has called for an inter-ministerial group meeting for appointing an arbitrator".