Case Law Details
Yamuna Cables Accessories Pvt. Ltd. Vs Desai Enterprise (Gujarat High Court)
Learned advocate Mr. S. P. Majmudar appeared for the petitioner and learned senior advocate Mr. B. S. Patel with learned advocate Mr. Umang Oza appeared for the respondents.
2. By way of the present petition, the petitioner has invoked the jurisdiction of this Court under Article 227 of the Constitution of India to challenge the order dated 29.03.2022 passed by the learned Additional District Judge, Panchmahal at Halol, whereby the application filed by the petitioner below Exh. 20 for extension of time to deposit the 75% of the award amount as per the order dated 11.02.2022 passed below Exh. 5 in Commercial Court Application (CMA) No. 1 of 2021 was rejected.
2.1 While passing the impugned order the learned Commercial Court has stated that as per Section 19 of the Micro, Small and Medium Enterprises Development Act, 2006 pre-deosit of 75% of the award is required. It was the contention of the petitioner inter-alia that as per the judgments of the Apex Court, pre-deposit could be made in installments.
3. The facts to be stated shortly are that the arbitration proceedings took place between the petitioner – M/s Yamuna Cable Accessories Pvt. Ltd. and the respondent – Desai Enterprises which culminated into award of the sole arbitrator dated 07.02.2020. The petitioner was directed under the said award to pay the respondent an amount of Rs. 3,46,07,118.31 paisa with interest at 12% from the date of award till its realization. It appears that thereafter the respondent also filed an application under Section 33 of the Arbitration and Conciliation Act, 1996 before the Arbitrator for passing an additional award. The Arbitrator directed the petitioner to pay additional Rs. 1,50,000/- with interest from 07.02.2020 till its realization.
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