India-UK BIPA can't be gun on my head: Centre tells Delhi HC to sine die adjourn appeal to restrain Vodafone from initiating second arbitration

The Central government today urged the Delhi High Court to sine die adjourn proceedings in its appeal to restrain Vodafone Group Plc from initiating second arbitration proceedings under the India-UK Bilateral Investment Protection Agreement (BIPA). (UOI vs Vodafone Group Plc).The appeal can be revived at an appropriate stage, Additional Solicitor General Chetan Sharma told a Division Bench of Justices Rajiv Sahai Endlaw and Asha Menon. ."Let the appeal be deferred. It can't be that UK BIPA be a gun on my head.", ASG Sharma remarked as he asserted that initiating arbitration under India-UK BIPA was an abuse of process..No statement was, however, made on whether the Government of India would challenge the arbitral award against it in the proceedings initiated by Vodafone under the India-Netherlands BIPA..Appearing for Vodafone, DMD Advocates Partner Anuradha Dutt reiterated that Vodafone would not proceed with the second arbitration under the India-UK BIPA unless the award under the India-Netherlands BIPA was set aside by competent authority..In view of Centre's plea to sine die adjourn the hearing in the appeal, Dutt added, ."It is clear that the Centre is going to file an appeal.".The Court indicated that it intended to dispose of the appeal with the option of reviving them at an appropriate stage. .It told Centre, "Your fear (of simultaneous proceedings under second BIPA) has disappeared.. When you face that fear, revive the appeal.".The Court adjourned hearing in the matter with the remark that it would pass an order in the appeal. .In 2018, the Centre had filed an appeal against the single-judge's refusal to restrain Vodafone from initiating second arbitration proceedings under the India-UK BIPA when the proceedings under the India-Netherlands BIPA were still pending..The arbitration proceedings were directed against the retrospective imposition of tax liability on Vodafone following its acquisition of a stake in Hutch (Hutchinson Essar Limited)..Recently, in the first arbitration proceedings, the Permanent Court of Arbitration at The Hague ruled in favour of Vodafone and held that the telco was entitled to fair and equitable treatment under the India-Netherlands BIPA..Follow Bar and Bench channel on WhatsAppDownload the Bar and Bench Mobile app for instant access to the latest legal news.