Anil Ambani Group’s Reliance Infratel Ltd come into view to be opposite maximum problem in Uttar Pradesh, where the government has filed over five dozen cases of possessions and stamp duty disputes against the company, which is planning an IPO to raise Rs 6,000 crore. “There have been 66 cases against our company by the Uttar Pradesh government before the Court of Additional Divisional Commission, extra District Magistrate or the Collector,” said the draft prospectus filed with market regulator SEBI on Monday.
The company has proposed an IPO within days of a new group company Reliance Power raising Rs 11,560 crore through a maiden public issue. The issue was oversubscribed 73 times, even as other companies like Emaar and Wockhardt are finding it hard to pull towards you investors. Most of the cases filed by the out of bed government against Reliance Infratel pertain to property disputes and payment of stamp duty, the draft red herring prospectus said.
In addition, the company is also facing property related litigations and consumer disputes concerning noise and air pollution in different parts of the country. The argument relating to property and pollution assumes meaning as the company is primarily engaged in setting up towers for facilitating wireless message.
According to the draft document, the company proposes to utilise about Rs 4,623.7 crore of the public issue to set up 16,000 passive infrastructure sites for wireless communication. The company proposes an first public issue of 8.9 crore equity share at a face value of Rs 5 each.



