Panama firm in SC over duty-free outlets in Noida International Airport

NEW DELHI: Even before Noida International Airport at Jewar commences operation, two MNCs - Panama-headquartered UETA Inc and Singapore-based Heinemann Asia Pacific - have locked horns over allotment of duty-free and retail outlets at the soon to be operationalised airport that would decongest traffic at Delhi airports.

UETA on Tuesday challenged before the Supreme Court a decision of the Delhi HC rejecting its challenge to the tender process for setting up, development, operation, maintenance and management of duty-free outlets and retail outlets at Noida International Airport. It challenged the award of licence to the consortium of Heinemann-BWC Forwarders.

Appearing for UETA, senior advocate Mukul Rohatgi said the HC erroneously rejected its petition saying no cause of action has arisen in Delhi and hence Delhi HC had no jurisdiction to adjudicate the dispute. He said the corporate office of NIAL was in Delhi and the letters were addressed from there giving clear jurisdiction to the HC.

NIAL and Heinemann through their counsel said that the airport is in Uttar Pradesh and that the corporate office of NIAL has since shifted from Delhi to Noida but a camp office is maintained in Delhi to receive correspondence.

The bench of CJI Surya Kant, and Justices Joymalya Bagchi and Vipul M Pancholi said that even though issue of territorial jurisdiction of Delhi HC over the dispute is debatable, since the counsel for both parties are in Delhi, it would make no difference if Delhi HC adjudicated this dispute on merits.

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