The enforceability of foreign arbitral awards requires adherence to contractual terms, specifically for currency conversion, guiding the execution process without altering the award's substance.

ORDER :

ABHAY AHUJA, J.

1. The present Interim Application has been preferred by the Original Award Debtors in the Execution Proceedings of a foreign award. The execution proceedings are filed for execution of a Foreign Award dated September 27, 2014 issued in Singapore International Arbitration Centre (SIAC) Arbitration which has been held to be enforceable against the Award Debtors in India. The present Interim Application seeks conversion of the awarded dues denominated in foreign currency in the Award by applying exchange rate as fixed by the contract. The Award Holder is also referred to as the Respondent and the Award Debtor is also referred to as the Applicant.

2. The background facts are that, a Share Subscription Agreement dated April 21, 2011 was executed between the Applicant No.1 and the Respondent whereby the Respondent made an equity investment of about US 60 Million in exchange of 7.8% shareholding of Applicant No.1. The agreement was completed on May 6, 2011 and an amended/re-stated Shareholder’s Agreement, also dated May 6, 2011 was executed. Pursuant to the disputes that ensued between the Parties, the Respondent invoked the Arbitration clause under the said Agreement, under the SIAC Rules and claimed US $ 60 Million for breach of warranties, damages for misrepresentation and indemnity for Losses from the Applicants. The Arbitration proceedings culminated in a Final Award passed on September 27, 2014 (the said Foreign Award) under which the Applicants were directed to pay to the Respondent an amount of US$ 60 million for breach of warranties, damages for misrepresentation and indemnity for Losses etc. The Applicants had filed an application under Section 34 of the Arbitration and Conciliation Act, 1996 which was dismissed as non-maintainable by this Court. Subsequently, the appeal filed challenging the dismissal of the application under Section 34 of the Arbitration and Conciliation Act, 1996 was also dismissed by this Court.

3. During the pendency of the Arbitration, the Respondent had filed a Petition under Section 9 of the Arbitration and Conciliation Act,1996 (Arbitration Act). This Court by its Order dated 22^nd January 2014 restrained the Applicants from withdrawing the amounts from their Bank Accounts with Corporation Bank to the extent of USD 60 Million. Aggrieved by the same the Applicants filed an appeal against the said Order before the Division Bench of this Court. The Learned Division Bench, by way of its judgment dated July 31, 2014 upheld the findings of the said Order but reduced the amount to be deposited from USD 60 million to USD 30 million. The Order of the Division Bench was assailed before the Hon'ble Supreme Court which came to be rejected on August 19, 2020 and the Hon'ble Supreme Court directed the Applicants to maintain a balance of USD 60 million in the Corporation Bank (presently Union Bank of India) as directed by the Order of the Learned Single Judge of this Court.

4. For enforcement of the said For