High Court Rejects Mysore Minerals Counterclaim against JSW Steel
Economic Times reported that Karnataka High Court has rejected a Mysore Minerals plea to add a counterclaim of about INR 1,172.79 crore to a petition
Economic Times reported that Karnataka High Court has rejected a Mysore Minerals plea to add a counterclaim of about INR 1,172.79 crore to a petition of JSW Steel, which is seeking a refund of about INR 272 crore from the state owned company. Court order said “The respondent’s MML contention that he has already laid the foundation for the filing of counterclaim in the original written statement itself, places into insignificance since what the law of limitation bars is the remedy and not the grounds on which it is founded. In other words even if the respondent had taken up all the grounds in his written statement as filed originally, a prayer for counter decree cannot be belatedly superadded once the same becomes time-barred.”
JSW Steel had originally filed a plea in 20212 to claim the refund of excess premium of about INR 272 crore paid by it in lieu for supply of iron ore. The company had entered into two lease-cum-sale deeds with the state government in 2006 for expansion of its integrated steel plants. However, when the Supreme Court banned mining operations in Karnataka in 2011, this memorandum of understanding MoU was kept on hold, leading to a dispute between JSW Steel and MML.
Subsequently, MML sought the court’s permission in 2016 to amend its response and file a counterclaim against JSW Steel for INR 1172.79 crore along with 18% interest.