( 1 ) THIS is an application under the provisions of Foreign Awards (Recognition and Enforcement) Act 1961 for stay of the present suit, being Suit No. 93 of 1984 (Kanoria Chemicals and Industries Ltd. v. Josef Meisaner GMBH and Co. and another ). The facts relating to the present application may be briefly noted.

( 2 ) THE plaintiff Kanoria Chemicals and Industries Ltd. , (hereinafter referred to as Kanoria) is, inter alia, engaged in the manufacture of heavy chemicals, Pentasrithrytol (hereinafter referred to as Penta) is a vital organic chemical and is used, inter alia, in the manufacture of detonator and explosive, surface coating resins, adhesives, printing inks etc. It can be of various grades.

( 3 ) KANORIA was desirous of a setting up of a plant for manufacturing of Penta. With that objective in view Kanoria made an application to the Ministry of Industries, Department of Industrial Development, Government of India for the grant of industrial licence under the Industries (Development and Regulation) Act, 1951. The authorities duly issued a letter of intent.

( 4 ) AFTER the receipt of letter of intent, Kanoria initiated enquiries with various international