Blue Star Faces Revised Rs 461.74 Crore Arbitration Claim from WJ Towell

Oman's WJ Towell & Co LLC has increased its arbitration claim against Blue Star Ltd to Rs 461.74 crore at the International Chamber of Commerce. Initially filed in April for Rs 223.6 crore, the claim has been revised. Blue Star contests the charges, calling them unfounded and without merit.

Oman's WJ Towell & Co LLC has escalated its arbitration claim against air-conditioner manufacturer Blue Star Ltd, now seeking Rs 461.74 crore in ongoing proceedings at the International Chamber of Commerce (ICC).

The claim, originally filed in April for Rs 223.6 crore plus 7% interest, has been significantly revised in a statement received by Blue Star on October 1, 2024. The new amount stands at OMR 2,11,80,748 (approximately Rs 461.74 crore) plus 7% interest.

Blue Star has dismissed the claims as frivolous and without substantiation, stating that they are based on fundamental factual inaccuracies and in opposition to concrete evidence. According to Blue Star, the claims are not expected to have any material financial impact on the company. This dispute stems from a shareholders' agreement made on October 1, 2015, aimed at managing Blue Star Oman Electro Mechanical Company.

(With inputs from agencies.)