Authority: Supreme Court of India (Civil Appellate Jurisdiction)

Order Date: 14 August 2026

Case Overview

  • The appeal (Civil Appeal No. ___ of 2026, arising out of SLP (C) No. 23417 of 2024) was filed by Reliance Industries Ltd (appellant) against NTPC Ltd (respondent) challenging orders of the Bombay High Court in Commercial Suit No. 189 of 2021 dated 22.08.2024.
  • The underlying dispute stems from an RFQ issued by NTPC for natural gas supply, a Letter of Intent dated 16 June 2004 accepted by RIL subject to a draft Gas Sale and Purchase Agreement, and NTPC’s claim that a binding contract for 132 trillion BTU over 17 years existed.
  • The litigation proceeded through three major rounds: (1) Chamber Summons No. 201 of 2010 for NTPC documents – dismissed by High Court on 20 Feb 2014; (2) Chamber Summons No. 629 of 2015 for RIL internal documents – dismissed on 29 Jan 2016; (3) Redaction of portions of RIL’s 1st and 2nd Evidence Affidavits (dated 24 Feb 2015 and 10 Aug 2016) – partially allowed, later reviewed.
  • The High Court’s orders on 31 March 2017 (and correction on 13 April 2017) permitted selective redaction but allowed oral evidence on matters not excluded. NTPC’s review petitions were dismissed on 2 Feb 2018.
  • The Supreme Court, in a judgment dated 28 Feb 2019, set aside the High Court’s permission to admit oral evidence concerning the contents of documents previously held inadmissible, emphasizing that once documents are excluded, oral testimony cannot indirectly introduce their contents.
  • The Supreme Court reiterated that internal e‑mails are irrelevant, though the fact of discussions may be admitted, and ordered the High Court to re‑examine the affidavits in line with this principle.
  • The High Court subsequently examined each paragraph of the affidavits, redacting specific internal communications (e.g., paragraphs 12, 23, 30, 35, 45, 73, 74, 76) and retaining others that reflected the witness’s state of mind or non‑internal facts.
  • The Supreme Court found the High Court’s detailed scrutiny correct and declined to revisit its own 2019 judgment, but directed the High Court to dispose of the underlying suit expeditiously, noting the trial has been pending since 2006.

Final Outcome

  • The Supreme Court dismissed the appeal filed by Reliance Industries Ltd, upheld the High Court’s redaction order, and imposed costs of Rs 10 lakh on RIL payable within five weeks.
  • The Court reiterated its earlier direction that the trial should be concluded within nine months from the date of the direction and urged the High Court to take up the matter promptly.

Topics: Court Proceedings, Gas Supply Contract, Evidence Admissibility