Amazon accuses Future of insider trading as it seeks to block Reliance deal – Times of India

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NEW DELHI: Amazon. com Inchas asked Indias market regulator to investigate Future Retail Ltd for insider trading, a letter seen by Reuters showed, as it seeks to prevent its business partner from becoming part of rival Reliances empire. The US giant has been pressing the Securities and Exchange Board of India (SEBI) to review Reliances August deal to buy retail, logistics and other assets from Future Group for $3. 4 billion including debt. Amazon argues it had a 2019 agreement with Future which prevented Reliance groups retail assets from being sold to certain parties including Reliance Industries Ltd, which is led by Asias richest man, Mukesh AmbaniThe November 8 letter to SEBI alleges Future Retail disclosed to Reliance price sensitive details of an injunction granted by a Singapore arbitrator to block the deal. After the Reuters story was published, a spokesman for Future said the company had communicated with Reliance on the arbitration order for a legitimate purpose as required by SEBI regulations. It added that Amazon had provided no evidence to back up its allegations of insider trading. Reliance and SEBI did not respond to Reuters requests for comment. Amazon declined to comment on the letters contents. The spat is being closely watched as a key test of whether Indian firms, courts and regulators will respect arbitration decisions made in accordance with overseas arbitration rules, and adds to headaches for Amazon in India which is also dealing with antitrust challenges. The injunction was granted on Sunday October 25 and was reported by media with Amazon issuing a short statement saying it welcomed the decision. Reliance later that evening said in a stock exchange filing that it had been informed of the arbitration order and would enforce its rights to complete the deal with Future without delay. It is this October 25 filing which Amazon argues in its 20-page letter that indicates Ambanis group was privy

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