Reliance Industires estimates that the company will owe a maximum of $ 400 million (Rs 3,000 crore) in a nine-year-old dispute with the government. The dispute related to the company's alleged lack of capacity in the KG-D6 sector due to non-compliance with the approved investment plan. It is worth mentioning that production in Dhirubhai-1 and 3 areas of KG-D6 block in Bay of Bengal started coming down from the company's estimates since the second year of 2010. Production in these gas fields ceased in February this year. For this, the company accused the company of not working according to the approved development plan. On the basis of this, the company was not allowed by the government to extract the cost of three billion dollars.
For your information, let us tell you that the company has opposed this charge of the government and has taken the matter for arbitration. RIL has mentioned this controversy in the documents of the rights issue recently brought. In the rights issue document, Reliance has said that the government has sent a notice to the company and its partner companies in KG-D6 block.
Apart from this, according to RIL, the government has said in the notice that the company and its partners did not follow the approved development plan. The government has said that they cannot be allowed to recover the cost due to lack of full utilization of capacity. The government has also demanded additional profits from the company.
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