V.K. JAIN, J.

IA No. 2153/2012 (under Section 8 of Arbitration & Conciliation Act, 1996) in CS(OS) 23/2012

1. This is a suit for recovery of Rs 11,71,46,949/-. The case of the plaintiff is that it entered into an agreement dated 04.07.2007 with defendant No. 1 for manufacture, supply and commissioning of 15 Reach Stackers, along with operation and maintenance of those stackers, at the specified terminals of defendant No. 1, for a period of 5 years. The plaintiff alleges material breach of the terms of the contract by defendant No. 1 and claims that an amount of Rs 4,92,73,207/- is due and payable to it towards the supply, operation and maintenance of machines. The contract was terminated by defendant No. 1 vide letter dated 24.05.2011. The bank guarantees furnished to it by the plaintiff were then invoked by defendant No. 1. The plaintiff is claiming Rs 56,68,000/- alleging that the invocation of the bank guarantees was illegal. Some other amounts have also been claimed in the present suit, thereby raising the total claim to Rs 11,71,46,494/-

2. IA No. 2153/2012 has been filed by defendant No. 1 seeking stay of the suit and reference to arbitration in terms of clause 15 of