As the estranged Ambani brothers slug it out in the Supreme Court over the price of gas, while filing its reply to the government affidavit, Mukesh Ambani-led Reliance Industries will stay away from any mention of the family settlement.

It is because any questions raised on the validity of private Memorandum of Understanding (MoU) might pour water on the divison of businesses under the agreement.

Sources say that RIL is likely to file its reply in the Supreme Court after August 15. Sources suggest that there will be no change in its stand over gas sales and it will say that there has been no violation of the government policy while selling natural gas from its D6 block in the Krishna Godavari basin.

RIL will also reiterate that it is a mere contractor of the gas block.

“It is up to RIL to decide if they want to reply specifically on the MOU aspect, but it is good if they maintain consistencies in their arguments,” said LC Agrawala, advocate at Supreme Court.

Sources also suggest that RIL's whole argument will be based on the government policies and how they are bound by the production sharing contract clauses that they have signed with the government.

One thing is clear that RIL does not want to upset the government and wants to very clearly be on the right side of the powers which even otherwise will only help recover them more money from KG gas.

source: NDTVPROFIT