International Tribunal Rules In Favor Of Cairn Energy In Tax Dispute With India

NEWBURY (dpa-AFX) - An international arbitration tribunal has ruled in favor of Cairn Energy (CNE.L) in a tax dispute with the Government of India.

The tribunal ruled that India had breached its obligations to Cairn under the UK-India Bilateral Investment Treaty and has awarded to Cairn damages of $1.2 billion plus interest and costs, which now becomes payable.

The ruling comes after Vodafone reportedly won a years-long tax dispute with the Indian government in September over a controversial $3 billion tax demand.

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