NCLT Mumbai on Tuesday cleared decks for conducting shareholders and creditors meeting to consider the Scheme of Arrangement filed by Future Group for transfer of its retail assets to Reliance Retail.
Amazon had earlier filed an application objecting to NCLT considering the Scheme pending completion of its arbitration proceedings against Future Retail.
NCLT dismissed Amazon's application on the ground that it is premature and there's no prejudice caused in the conduct of shareholders and creditors meeting to consider the Scheme since it will open Amazon for raising objections when the Scheme is filed for final approval by NCLT after the shareholders and creditors give the go ahead.
NCLT also pointed out that the Supreme Court had only restrained NCLT from pronouncing the final order approving the Scheme.
With this it will now be open for Future Group to obtain all preparatory approvals from shareholders and creditors. In the event that succeed in arbitration proceedings, they will need the Scheme alone be finally approved by NCLT.
With this, experts believe, Future Group may be able save 6-9 months time for Scheme implementation.
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