ED Seeks Documents from Future Group on 2019 Deal with Amazon

The enforcement directorate (ED) has ordered Future Group to submit documents related to its 2019 deal with Amazon. Com as part of an investigation into possible breach of foreign investment laws, according to sources and a notices seen by Reuters.

The demand indicates heightened scrutiny of a deal which is at the heart of legal battles between Amazon and Future after the India company decided to sell its retail assets to Reliance Industries for $3.4 billion in 2020.

That transaction has been put on hold by an arbitrator and courts after Amazon argued Future has violated its contracts with the US company by entering into the sale.

Future denies that, and says Amazon is illegally exerting control over the Indian firm’s business decisions.

Ina confidential notice dated October 28, the ED asked a Future unit to submit all correspondence including emails between Amazon and the India group in respect of the investment the us firm made in Future two years ago. Reuters has reviewed a copy of the notice.

Two sources said the notice was part of an ongoing investigation by ED to establish whether there were any violations of foreign investment law when Amazon made the $200-million investment in Future Coupons. The notice has not previously been reported and was sent to Future Coupons, which was given 15 days to respond.

The ED did not respond to a request for comment. Amazon and Future also did not respond. S-ET

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