Reliance Power sues Statesman for Rs 1000 crore

Reliance Power Limited has filed a civil suit against The Statesman of Calcutta  for its series on RPL¿s IPO, seeking damages of Rs 1000 crore. The plaint for civil defamation came after the publication of three page one articles on October 24, 25 and 26.   The stories were titled "An IPO for Mr Anil Ambani" ,  "SEBI Guidelines and Mr Ambani" and  "What Mr Ambani did not tell High Court". They carried alongside the company¿s responses to the issues raised.   

 

The paper had sought  responses from RPL before the series began, and the company had responded to its questions on October 23^rd. On the 24^th morning the series began to run. On the 26^th  morning the paper¿s Bombay office received the notice from Mulla & Mulla & Craigie Blunt & Caroe, acting for RPL. Pending the disposal of the suit, the plaintiffs asked that the paper be directed  to publish an apology on the front page of the newspaper and also on their website and to withdraw  immediately  the three articles that had been published until then.

 

The Court heard the matter the same day with counsels for both sides arguing for and against restraint on the series. The judge, Justice AM Khanwilkar, asked both sides to prepare consent terms and file them in court the same day. According to these the series will continue and if the paper submits questions by 9 am the company has to respond to them by 9pm. If the questions are submitted after 9am the company can respond in 24 hours.

 

The paper held over the article to be published  the next day and resumed publication from the 28^th morning. The matter will come up in the regular list in January 2008.  The case lodging number is  S/3180/2007.

 

This is not the first time a Reliance company has sued a publication for such a large sum. An earlier suit against a newspaper was for Rs 2000 crores, in the days before this business empire split. 

 

In the first article of the series by her Aditi Roy Ghatak set out seven questions she was going to examine. The links to the articles are as follows, and they continue to be available on the paper¿s website.

 

The series by Aditi Roy Ghatak and the accompanying rejoinders

 

 

October 24, 2007

 

An IPO for Mr Anil Ambani

 

A vicious campaign, says Reliance Power

 

 

October 25, 2007

 

Sebi guidelines and Mr Ambani

 

 

October 26, 2007

 

What Mr Ambani did not tell High Court

 

¿HC had all material facts¿ (same page)

 

October 28, 2007

 

Risks that RPL admits to

 

Reliance Power responds (same page)

  

 October 29^th

 

  RPL, its finances, its debt

 

We cannot assure debt service: RPL (same page)

The series is continuing in the newspaper. www.thestatesman.net