Supreme Court dismisses Centre’s appeal in Vedanta arbitration case

The Supreme Court on November 2 dismissed the Centre’s appeal against an order allowing Vedanta and Ravva Oil Singapore to enforce two Kuala Lumpur arbitration awards in India, leaving the Delhi High Court’s directions in place. The bench said it found no error in the High Court’s decision and warned that continued resistance to enforcement could weaken confidence in India’s arbitration system. Justices J.B. Pardiwala and Manmohan questioned why the government was contesting the awards at the enforcement stage, after the dispute had been considered by Malaysian courts. The judges cautioned that prolonged litigation could affect perceptions of India as a destination for arbitration. Their comments were a warning about possible effects, not a finding that confidence had already declined. The appeal challenged the Delhi High Court’s July 1, 2026, ruling. The High Court rejected the Centre’s objections, including arguments based on limitation, public policy and the tribunal’s authority after its earlier award. It held that an enforcement court could not reopen the underlying merits and found the proceedings within the limitation period. It also directed the release of bank...