RBI to consult Finance Ministry over Tata-NTT DoCoMo settlement

The Reserve Bank of India (RBI) will likely consult the Finance Ministry to hear its stance on the settlement between the Tata Group and NTT DoCoMo, before the Delhi High Court takes up the case for hearing on March 8, people privy to the developments told CNBC-TV18.Tata Sons had earlier agreed to pay USD 1.17 billion in damages to Japan's NTT DoCoMo in their long-standing dispute over the latter's exit from its joint venture in India.RBI remains opposed to the payout under the existing structure. While RBI said the existing clause in the joint venture agreement was illegal, Tata Sons stuck with its stand on the legality. RBI said a fixed rate of return for exit from the joint venture makes it illegal.Tata Group has proposed to make payment to DoCoMo in two parts to comply with Foreign Investment Promotion Board (FIPB) norms. In the first tranche, Tata Group proposes to pay fair market value price to DoCoMo. The remaining will be made via offshore payments.Watch video for more.