The court emphasized the need for conditions while granting a stay of the award, directing the respondent to furnish security for the principal amount decreed.

ORDER :

1. Delay condoned.

2. An Award, which was made a Rule of Court by the learned Single Judge is pending in an appeal before the Division Bench of Delhi High Court. On an application being filed for stay, the Court has granted full stay. It is against that order, the present Special Leave Petition (C) No. 7033/2001 has been filed, inter-alia, on the ground that the Division Bench committed error while invoking the power in granting full stay without even directing the respondent to deposit the amount in question or in the alternative to furnish the security thereof. The petitioner also has filed another SLP(C) No. 14943/2001 contending, inter-alia, that a Letters Patent Appeal to the Division Bench is not maintainable. Delhi High Court has not finally adjudicated upon the issue of maintainability of the Letters Patent Appeal, though it has, prima-facie, held the appeal to be maintainable. Learned Additional Solicitor General relies upon the judgment of this Court in JT 1998 (7) SC 17 in support of the aforesaid proposition. Learned Additional Solicitor General also contends that having regard to the entire facts and circumstances of the case when the High Court has granted a full stay, this Court need not interfere with the same in exercise of its power under Article 136 of the Constitution. Mr. Reddy appearing for the petitioner, however, contends that there is no justification for not putting any condition while granting a stay of the award, which is in the nature of a money decree, and therefore, the principles enshrined in Order XLI of Code of Civil Procedure should apply. Without entering into the merits of the contentions raised by the parties, and without expressing any opinion as to the maintainability of a Letters Patent Appeal to the Division Bench, particularly when the matter is still pending consideration in Delhi High Court, we modify the impugned order of stay passed by the Division Bench by directing that the respondent shall furnish either Bank Guarantee or property security for the principal amount decreed to the Registrar of the Delhi High Court within eight weeks from today, filing which the order of stay granted by the High Court would stand vacated. The High Court is requested to entertain and dispose of the appeal within three months from today.

3. Both these Special Leave Petitions stand disposed of accordingly.