Zee Media Bureau
New Delhi: Nokia India on Tuesday decided to withdraw from the Delhi High Court its plea for urgent sale of its Chennai mobile manufacturing unit which was frozen over a tax dispute.
The tax dispute between Nokia India and Income Tax department, which has raised a claim of Rs 10,000 crore on the telecom firm, was scheduled to be taken up by the Delhi High Court for an urgent hearing today.
The sale of Nokia India's mobile manufacturing plant in Chennai has been frozen over the tax dispute.
On May 20, a bench of justices Badar Durrez Ahmed and Sanjeev Sachdeva had agreed to hear the matter on May 26, instead of September 7 fixed earlier, after Nokia told the court it has found a buyer for its Chennai factory.
Senior advocate Kapil Sibal, appearing on behalf of the company, said there was urgency in the matter as a buyer has been found.
He also said that Nokia would also give the list of its assets before the next date of hearing.
The IT department on the other hand said the assets number over 40,000 and their valuation was not yet known.
The company, however, said that valuation of the assets would be known as soon as the report of Ernst and Young India Pvt Ltd (EY) was received. EY was appointed by the court as the valuer for Nokia India's Chennai mobile plant and its other assets.
The court had said that EY would do the valuation of the assets of the company on both 'on going concern' (company not bankrupt) and 'non going concern' (company has gone bankrupt) methods.
On April 24, the Income Tax department had told the court that the amount offered by an "arm's length buyer" for Nokia India's Chennai plant was "very little".
An 'arm's length' transaction is one in which the buyer and seller of a product act independently and have no relationship with each other to ensure that they act according to their self-interest and are not influenced by the other party.
With Agency Inputs
