Foil Vedanta members’ research exposed this story on the extent of corporate influence on the UK government over the contentious Cairn-Vedanta deal in 2010. The British government show no regard for Indian and Sri Lankan people as they push Vedanta on them using diplomatic force.
The Cairn-Vedanta deal is currently being investigated in the Indian Supreme Court for claims that Cairn Energy should have offered first right of refusal on it’s shares in Cairn India to Indian national oil and gas company ONGC according to a clause in their deal. The Indian exchequer could have profited by £11.6 billion (1 lakh crore or 1 trillion Rupees) if this had been done. The case claims the deal was made on ‘extraneous considerations’ and has not benefited the Indian people.
Since the Vedanta takeover Cairn India has been drilling in Sri Lankan waters directly beside the Bar Reef Marine Sanctuary, a pristine coral reef which is thought to be the most biodiverse area off India’s coasts. They have been using a fifth generation Japanese drilling ship (the Chikya Hakken) which was damaged in the Sendai tsunami.
for more on Cairn India see powerbase’s profile.
Secret state lobbying for Scots energy giant
Rob Edwards. from Sunday Herald, 20 May 2012
Westminster secretly lobbied the Indian government to give the go-ahead to a disputed multi-billion pound deal with a leading Scottish oil company, internal emails passed to the Sunday Herald reveal.
UK government officials, briefed “over dinner” by Edinburgh-based Cairn Energy, offered to “polish” and send a letter drafted by the company. At a lunch, they also had a quiet word urging a key Indian government minister to back the deal.