Company Law Board restricts Uninor from auctioning assets

August 9th, 2012 - 7:39 pm ICT by IANS  

New Delhi, Aug 9 (IANS) The Company Law Board (CLB) Thursday restricted Uninor from auctioning its business and assets.

“I allow the application and injunct the respondent (Uninor) from taking any steps whatsoever in pursuance to the auction notice published on Aug 1 or similar notices that may have been published,” Justice D.R. Deshmukh, CLB chairman, said in his order.

The Delhi High Court had earlier allowed Uninor to invite bids for selling its assets. It had, however, asked the CLB to decide the matter on merit, saying that nothing will be confirmed till then.

Unitech, which has 32.75 percent share in the joint venture with Norway’s Telenor, had approached the CLB against Uninor’s decision to auction its assets.

Reacting to the CLB order, Uninor said: “Since the CLB order has now been pronounced, we are able to comprehensively move our arguments towards Uninor’s assets auctions to the higher courts.”

“As we have said earlier, Uninor will pursue every legal measure available that gives its employees, customers and business partners a chance to continue beyond the license cancellation date,” it said in a statement.

Thursday’s ruling stymied Telenor’s efforts to get Uninor’s business transferred to a new entity and bring in another Indian partner before the upcoming 2G spectrum auction.

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