Swan legal drama

Vol 14, PW 9 (21 Oct 10) News in Brief
     

Major drama is the order of the day in the Public Interest Litigation filed against GSPC and Mumbai-based Swan Energy in the Gujarat High Court.

Under scrutiny is why GSPC offloaded a 49% stake in its GSPC Pipavav Power Company this January to little-known Swan for Rs381cr ($85.8m). In a hearing held last Thursday (October 14), Swan’s lawyer Darshan Parikh suddenly said he wished to “withdraw from the case” as he had stopped receiving “instructions or information.

” Chief justice SK Mukhopadhaya then asked Parikh if any Swan official was present and Parikh dutifully pointed to Swan’s Gujarat resident director GK Gadhvi, sitting in the ‘third row’. But Gadhvi strangely denied any association with Swan and claimed to be “just a member of the general public.

” Mukhopadhaya wasn’t fooled and threatened legal action against Gadhvi for “lying and misleading the court.” Gadhvi quickly admitted his association with Swan and was made to apologise to the court.