India's port privatisation continues to run into legal bottlenecks. In the latest wrangle, DP World's right to operate the Mundra port in Gujarat on the west coast has been disputed. The Adani Group, which owns the port, has served notice on the global port operator to terminate operations at the container terminal and begin discussions on transferring assets within three weeks. DP World acquired the Mundra International Container Terminal as a result of its acquisition of P&O, which had bought the rights in 2003 for $295M. P&O also held rights for expansion of the facilities. DP World has been operating the terminal since over a year. Adani's move is said to be triggered by a notice from the Gujarat Maritime Board that DP World's takeover is illegal as permission from GMB was not sought. DP World's Indian sub-continent MD Ganesh Raj, however, remains defiant. "MICT is still owned by P&O Ports," he maintains. A provincial court is set to hear a case filed by MICT against Adani.
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