Turner Construction wants to call off the J.V with Sahara Prime City
The Sahara group has been trying to sell off its Indian and International properties to raise the bail amount of Rs.10, 000 crore to secure the release of its founder Subrata Roy from the Tihar jail. Now adding to the group’s legal woes, the group has been dragged into international arbitration by one of its joint venture (JV) partners.
There is a saying ‘’Misfortunes never come alone’’ and Sahara group is facing a series of misfortunes in the last few months. Turner Construction Co., the US unit of German construction services company Hochtief AG, has approached the International Chamber of Commerce’s court of arbitration in Paris to end its relationship with Sahara Prime City Ltd and Acropolis Capital Group.
Sahara Prime City, Turner Construction and Acropolis Capital had announced a JV in 2012 to develop townships in India over 20 years. Little did anyone knew that Sahara will face this kind of legal battle then. The venture is operating through an entity called Sahara Turner Construction Ltd. Robert S. Peckar the founding partner of the US-based law firm Peckar and Abramson PC stated that they started the arbitration in April to terminate the relationship with Sahara and Acropolis. The main reason behind ending this J.V is the inability of Sahara to execute various township projects.
Since this was the main reason for forming a joint company, now keeping the J.V is of no use to the company. Hence ending it will safeguard the interests of Turner Construction and Sahara Prime City.
Source- Mint
Acropolis Capital Group, Hochtief AG, Sahara Prime City, Sahara Prime City Ltd, Sahara Turner Construction Ltd
