Vedanta to appeal against Sebi order to pay ₹77.62 crore to Cairn

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Vedanta Ltd on Wednesday said it will appeal against Sebi's order to pay ₹77.6 crore penalty to Scottish explorer Cairn UK Holdings Ltd for delay in paying dividends to its erstwhile shareholder, news agency PTI reported. Vedanta said the Scottish firm had given up its right to claim interest when it settled a retrospective tax demand with the government. "Vedanta Ltd will appeal the Sebi order before the appropriate forum," the mining conglomerate said in a statement.

Earlier on Tuesday, the Securities and Exchange Board of India (Sebi) had ordered Vedanta to pay ₹77.62 crore to Scottish explorer Cairn. The market regulator also barred the mining firm's entire board, including Billionaire Anil Agarwal's brother Navin and daughter Priya, from accessing the capital market for the same. The market regulator, in its order, said Vedanta violated the law by withholding dividends that should have been paid to the UK firm between January 2014 and June 2017.

However, Vedanta said there was "absolutely no intent" on its part to withhold the dividend payment from CUHL. "Vedanta Ltd has an exemplary record in payment of dividends. Vedanta Ltd has paid out dividends of over ₹84,000 crore to shareholders in the last 10 years.

It has never delayed, or been penalised for, any dividend payment," the company said. The mining conglomerate said "The dividend payment by Vedanta Ltd to Cairn UK Holdings Ltd (parent firm of Cairn Energy) was under a tax dispute between Cairn UK and the Government of India. "The said dividend amount was deposited in an 'unpaid dividend account' as per law and was to be released by Vedanta Ltd as per the orders of the Income Tax Department and which was subsequently released post orders of the department and no