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A Delhi court told SAP India to keep serving an EU-sanctioned refiner, The Economic Times reported. SAP cited prosecution risk in Germany.

On Wednesday, a Delhi High Court division bench refused to stay a September order directing SAP India to restore online software services to Nayara Energy, The Economic Times reported.

ERP LEADERS news desk · · First reported by The Economic Times · Edition no. 61

The software provider stopped providing services after July 18, 2025, when the European Union imposed sanctions targeting Russian interests over the war in Ukraine.

The vendor argued that its German parent company, SAP SE, faced the threat of prosecution under German law if it continued to support the Indo-Russian oil refiner. The single judge had held that the defence was, prima facie, not tenable, and the division bench observed that the vendor's support system remains "essential" to Nayara's operations.

Without access to the vendor's software services, the refiner would incur huge costs, the court said. However, the bench observed the software company could approach the court again if the European Union immediately penalises it for its dealings with the refiner. A further hearing is set for January 11.

The ruling is interim and SAP's appeal is still pending. Until then, SAP India has to keep supporting a customer that EU sanctions cover.

ERP LEADERS card: A Delhi court told SAP India to keep serving an EU-sanctioned refiner, The Economic Times reported. SAP cited prosecution risk in Germany.
The card as published on LinkedIn. Photo: Ank Kumar/Wikimedia, CC BY-SA 4.0 · original

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