AgenciesUS-based Safesea, one of three shortlisted bidders for (SCI), has rubbished reports in certain sections of the media claiming it has a legal dispute with the company that it is looking to acquire.
“There are misleading reports in the media speculating that we have a dispute with Shipping Corporation of India. SCI owes us freight and other charges for their shipments carried by us. Though the outstanding amount which is overdue for a few years has been acknowledged and confirmed by SCI it has not been paid despite repeated assurances from their end.
We have been a service provider to SCI for their break bulk and other important shipments for many years now and continue to provide our services even now. So where is the question of a dispute?”, SV Anchan, the company’s New Jersey-based founder told ET.
Safesea has submitted an expression of interest for SCI. Anchan confirmed that his company had received intimation that it has been shortlisted to move forward in the bidding process.
The preliminary information memorandum ( PIM) document of SCI has clauses for disqualification of bidders or interested parties (IP). One of the criteria for disqualification among others is "initiation or existence of any legal proceedings by or against the IP or any consortium member and its/their respective subsidiary thereof and parent by or against Shipping Corporation of India Limited or its directors in capacity as directors of Shipping Corporation of India Limited, which proceeding may be prejudiced by the participation of IP in the selection process".
Anchan claimed his company's demand of an outstanding amount from SCI which is undisputed cannot be deemed to prejudice his company's participation in the selection process.
He also claimed that if his company were in a legal dispute with SCI which merits disqualification, representatives of the company’s employees would not have contacted him for financing the employees' bid in the disinvestment process.
Apart from Safesea, the two other shortlisted bidders for SCI are a consortium led by NRI-businessman Ravi Mehrotra and Hyderabad-based Megha Engineering.
“There are misleading reports in the media speculating that we have a dispute with Shipping Corporation of India. SCI owes us freight and other charges for their shipments carried by us. Though the outstanding amount which is overdue for a few years has been acknowledged and confirmed by SCI it has not been paid despite repeated assurances from their end.
We have been a service provider to SCI for their break bulk and other important shipments for many years now and continue to provide our services even now. So where is the question of a dispute?”, SV Anchan, the company’s New Jersey-based founder told ET.
Safesea has submitted an expression of interest for SCI. Anchan confirmed that his company had received intimation that it has been shortlisted to move forward in the bidding process.
The preliminary information memorandum ( PIM) document of SCI has clauses for disqualification of bidders or interested parties (IP). One of the criteria for disqualification among others is "initiation or existence of any legal proceedings by or against the IP or any consortium member and its/their respective subsidiary thereof and parent by or against Shipping Corporation of India Limited or its directors in capacity as directors of Shipping Corporation of India Limited, which proceeding may be prejudiced by the participation of IP in the selection process".
Anchan claimed his company's demand of an outstanding amount from SCI which is undisputed cannot be deemed to prejudice his company's participation in the selection process.
He also claimed that if his company were in a legal dispute with SCI which merits disqualification, representatives of the company’s employees would not have contacted him for financing the employees' bid in the disinvestment process.
Apart from Safesea, the two other shortlisted bidders for SCI are a consortium led by NRI-businessman Ravi Mehrotra and Hyderabad-based Megha Engineering.
Read More News on
Download The Economic Times News App to get Daily Market Updates & Live Business News.