Annexure XIV Continued… - Edelweiss

Outstanding litigation and proceedings initiated by AEPL
Civil
1. AEPL v. SECL, MCCPL and Others
Civil Suit No. 122A of 2007 before the Court of Civil Judge Class II District Korba, Chhattisgarh
AEPL had filed this suit before the Court of Civil Judge Class II District Korba, Chhattisgarh on August 25,
2007 with respect to its application to SECL for allotment of 10 acres of land on lease basis for the
establishment of a coal washery at village Ratija which was necessary for the supply of clean coal to Karnataka
Power Corporation Limited. The application was rejected by SECL on the grounds that a rapid expansion was
proposed on the said land and SECL proposes to develop infrastructure for other projects on this land.
However, pursuant to the rejection of AEPL's application, SECL intended to grant a lease of certain portions of
the land sought by AEPL to MCCPL. AEPL has prayed inter-alia that SECL be directed to lease the disputed
land to AEPL and not to MCCPL and has additionally requested for an ex-parte stay order on the
establishment of the coal washery by MCCPL on the disputed land.
Pursuant to the order dated January 29, 2008 passed by the Supreme Court of India in Transfer Petition No.
813 of 2007 this case has been transferred to the Chhattisgarh High Court at Bilaspur and the same is currently
pending.
2. AEPL v. Karnataka Power Corporation Limited (“KPCL”)
Writ Petition no. 16946 of 2009 before the Karnataka High Court at Bangalore
Pursuant to a tender floated by KPCL, AEPL was awarded a contract for setting up coal washeries for supply
of washed coal and for the said purpose agreements dated February 4, 2002 and November 29, 2002 were
executed between KPCL and AEPL. The said agreement inter-alia had provisions relating to rights and
obligations in respect of the disposal of coal rejects generated after washing the agreed quantity of coal for
KPCL. On May 2, 2008, KPCL unilaterally tried to amend the agreed terms of the contract in relation to the
disposal of coal rejects, thereafter on May 11, 2009 KPCL issued a tender notification calling bids from
various persons for purchase of coal rejects generated pursuant to the aforesaid agreement, which were to be
property of AEPL under the agreement. AEPL has inter-alia prayed for the issuance of a writ of certiorari and
for quashing the notification dated May 11, 2009 and the letter dated May 2, 2008 issued by KPCL trying
unilaterally amending the agreed terms of the agreements dated February 4, 2002 and November 29, 2002. The
writ petition is currently pending.
3. AEPL v. KPCL before the Karnataka High Court
Writ Petition no. 31648 & 31896-899 of 2010
Pursuant to a tender floated by KPCL, AEPL was awarded a contract for setting up coal washeries for supply
of washed coal and for the said purpose agreements dated February 4, 2002 and November 29, 2002 were
executed between KPCL and AEPL. The said agreements inter-alia provided that AEPL shall provide Bank
Guarantees (“BGs”) to KPCL. The BGs were provided by AEPL. The said BGs were to be returned after the
contract comes to an end. The contracts for which these BGs were provided have come to an end but KPCL
did not return the BGs. The Company has to renew the said BGs even after the expiry of the said contract. The
Company filed the writ petition before the Karnataka High Court praying that direction be issued to KPCL to
release the BGs and to reconcile the accounts. The writ petition is currently pending.
C. Aryan Clean Coal Technologies Private Limited (“ACCTPL”)
Outstanding litigation and proceedings initiated against ACCTPL
Taxation
1. Show Cause notice received from Commissioner of Central Excise Commissionerate, Delhi
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