The court emphasized the importance of consistent and supported claims in legal proceedings, and the significance of documentary evidence in establishing facts.

Valmiki J. Mehta, J (Oral)

1. This first appeal is filed under Section 37 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as the ‘Act’) impugning the judgment of the court below dated 27.8.2013 by which the petition filed by the respondent herein, petitioner before the court below under Section 9 of the Act, was allowed and a receiver was appointed with respect to the subject vehicle /three wheeler scooter (TSR) bearing registration No. DL-1RL-1382.

2. The facts of the case are that the appellant herein, respondent in the court below, had under a purchase-cum-loan facility extended by the respondent, purchased the subject vehicle on the loan of Rs. 3,30,000/- and which loan was to be repaid by the appellant in 36 EMI’s of Rs.13,570/- each. The appellant defaulted in payment of 19 EMIs, and consequently as on May, 2011, there remained an outstanding of Rs.2,04,740/- payable to the respondent herein. Since the appellant failed to pay the EMIs in spite of the repeated requests, a legal notice dated 31.5.2011 was served upon him by the respondent which failed to yield the desired result, resulting in filing of the petition under Section 9 of the Act.

3. The case of the appellant before the court below was that the subject vehicle was in fact given by the respondent in exchange for another TSR vehicle bearing registration No. DL-1RL-2208 and which was after the appellant had paid an amount of Rs.2,50,000/- to the respondent herein in one go as complete payment due to the respondent for the subject vehicle.

4. The court below has disbelieved the appellant and for which purpose reference has been made by the court below to the pleadings of a civil suit which was filed by the appellant herein and wherein the appellant had taken a totally different stand. In the civil suit appellant admitted that the subject vehicle was already with the appellant. In the civil suit the appellant had sought possession of the other vehicle bearing No. DL-1RL-2208. In the civil suit appellant admitted that he had only paid 17 instalments with respect to the subject vehicle. The court below has also disbelieved the stand of the appellant that an amount of Rs. 2,50,000/- was paid because this assertion was not supported by any documentary evidence.

5. The relevant observations of the court below are contained in para nos. 20 to 28 of the impugned order and which read as under:-

“20. Going through the statement of account of the respondent herein(plaintiff therein), he has furnished statement of account from his bankers i.e. Canara Bank which has already been exhibited as Ex.PW1/2 in the said statement. The said statement is showing withdrawal entries of Rs.13,500/- on different dates by way of cheques issued in favour of Arora Finance Company i.e. the applicant herein. Besides, two more entries dated 18.10.2008 i.e. one Rs.10000/ and another of Rs. 3570/-.

21. In all, there are 15 such entries, the first entry being dated 18.11.2008 and the last of such entry being dated 19.05.2010, the total of which amount would come to Rs. 2,02,500/-+13570=2,01,670/-.

22. From the entire pleadings, particularly the prayer in the plaint, it is clear that it is the other vehicle i.e. DL-1RL-2208, of which the possession has been sought by the plaintiff/respondent herein in the said suit. Further, the pleadings make it even more clear that possession of TSR bearing registration no. DL-1RL-1382, already very well with the plaintiff/respondent herein.

23. The respondent herein, who was examined as PW-1, in his cross-examination conducted in the civil suit, has clearly admitted that he had received the possession/delivery of vehicle bearing registration no. DL-1RL-1382 in the month of August, 2008, and further he has also admitted that he paid only 17 installments for the above said vehicle.

24. Further admissions made by the plaintiff/respondent herein in the said civil suit, are most important and required to be reproduced herein. He has admi