Revision as of 19:29, 23 September 2018

The InduTech Zone IT SEZ

U Sudhakarreddy, Mauritius drags India to int’l court over Andhra SEZ case, February 22, 2018: The Times of India

The Mauritius government has dragged India to the International Court of Justice for arbitration in the InduTech Zone Investments case. InduTech Zone IT SEZ had failed to take off after CBI chargesheeted Andhra opposition leader Jagan Mohan Reddy in a scam involving the land earmarked for the purpose. Indu Shyam Prasad Reddy, who was contracted to develop the SEZ, had mortgaged the land to raise loans and laundered part of it. Reddy, along with others, was booked in the same case.

As the SEZ case got embroiled in legal tangle, Carissa Investments LLC of Mauritius, which holds 49% stake in InduTech Zone, through FDI, approached the Mauritius government, which took up the case for arbitration. The Mauritius government took up the case under a bilateral treaty for protection of investments.

A top official of Telangana State Industrial Infrastructure Corporation (TSIIC) told TOI, “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.”

Besides the PM, the notice also mentions names of finance minister, law minister, commerce minister and urban affairs minister as respondents. Though not as respondent, the notice mentions the chargesheet against Jagan. “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 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,” said the TSIIC official.

Chagos Islands

2018: India backs Mauritius’ claim

Indrani Bagchi, India backs Mauritius’ claim over UK-ruled Chagos Islands, September 6, 2018: The Times of India

India weighed in on behalf of Mauritius at the International Court of Justice (ICJ) in The Hague, saying the Chagos archipelago in the Indian Ocean – which is currently ruled by the UK and operates US’ Diego Garcia military base – “has been and continues to be with Mauritius”.

After the UN general assembly voted in favour of a legal opinion to the question of sovereignty of the islands, the ICJ had taken up the case to deliver an advisory opinion, which will not be legally binding. Of the 22 countries which are giving their legal opinion, the UK is supported by the US, Australia and Israel, while Mauritius is being supported by 17 countries, including India.

India’s ambassador, Venu Rajamony, who presented the Indian opinion, said the “historical survey of facts … indicates that the Chagos Archipelago throughout the preand post-colonial era has been part of the Mauritian territory. These islands came under the colonial administration of the United Kingdom as part of Mauritian territory”.

While India stayed true to its commitment to its Indian Ocean neighbour Mauritius, as well as its anti-colonial credentials, there is some irony in the fact that after signing the LEMOA (Logistics Exchange Memorandum of Agreement) with the US in 2016, India can actually access Diego Garcia for some of its uses. That itself has led to some interest in India’s opinion, particularly as the UK and US have reached out to India for support. The Indian opinion was also publicised the day before the first high-level dialogue between India and US here.

A statement by the Indian government observed, “The Arbitral Tribunal constituted by agreement between Mauritius and UK in its Award dated 18 March 2015, ruled that the undertakings of the United Kingdom with respect to: the fishing rights of Mauritius in the waters of Chagos Archipelago; the eventual return of the Archipelago to Mauritius and; the benefit of mineral and oil resources in and near the Archipelago, are legally binding undertakings. Further, by declaring as legally binding the undertaking of the United Kingdom to return the Archipelago to Mauritius, the Award has determined the legal obligation of the United Kingdom to return the Archipelago to Mauritius.”

After signing an MoU with the US in 2016, India can access the military base US operates on the islands