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2023 Supreme(Del) 323

IN THE HIGH COURT OF DELHI AT NEW DELHI
YASHWANT VARMA, J.
BRAHMAPUTRA CRACKER AND POLYMER LTD. – Petitioner
Versus
RAJSHEKHAR CONSTRUCTION PVT. LTD. – Respondent
O.M.P. (COMM) No. 289 of 2022, I.A. No. 10794 of 2022 (Stay)
Decided On : 30-01-2023

Advocates:
Advocate Appeared:
For the Petitioners: Sacchin Puri, Madhurima Mridul, Shweta Arora.
For the Respondents: Mayank Mikhail Mukherjee.

Headnote:

Arbitration and Conciliation Act, 1996 – Section 34 – Limitation Act, 1963 – Section 5 – Arbitration Act, 1940 –Application for setting aside arbitral award – Extension of prescribed period in certain issues – Petition preferred Arbitration and Conciliation Act, 1996 assails validity of an award – Undisputedly petition was preferred and filed before Registry of Court various defects which were pointed out by Registry from time to time and details whereof shall be set forth in subsequent parts of this order were ultimately removed – Held, Court also bears in mind that filing of a petition or an attempted filing of a petition unaccompanied with a Statement of Truth or award should not be lightly countenanced especially where same may be merely presented in order to stall limitation period prescribed commencing – Attempts have to be clearly discouraged and disapproved – It is to ward off that greater mischief which convinces Court to hold that filing of a copy of award and submission of Statement of Truth must be recognized to be foundational basic and indispensable requirements of a petition – Petition shall stand dismissed.

JUDGMENT :

YASHWANT VARMA, J.

1. This petition preferred under Section 34 of the Arbitration and Conciliation Act, 1996 [Act] assails the validity of an award dated 31 January 2022. Undisputedly, the petition was preferred and filed before the Registry of the Court on 28 May 2022. The various defects which were pointed out by the Registry from time to time and details whereof shall be set forth in the subsequent parts of this order were ultimately removed on 13 July 2022.

2. The petition came up for initial consideration before a learned Judge of the Court on 15 July 2022. The record would bear out that the petitioner had filed I.A. No. 10796/2022 seeking condonation of twelve days delay in the refiling of the petition. The said application came to be allowed on the said date. Subsequently and when the matter was taken up before the Court on 14 October 2022, learned counsel for the respondent pressed an application numbered as I.A. No. 16763/2022 seeking recall of the order dated 15 July 2022 in terms of which I.A. No. 10796/2022 had come to be allowed.

3. The Court noticed the objections raised with it being contended at the behest of the respondent that the petition was not only barred by time in the course of refiling, it was per se filed after the period of limitation as prescribed in respect of a petition under Section 34 of the Act. Accordingly, it was urged that the plea of delay be kept open to be urged at the time of final hearing. The aforesaid prayer was granted with the learned Judge observing that the assertion that the presentation of the petition on 28 May 2022 was liable to be viewed as a “non est filing” would be kept open.

4. Along with the application numbered as I.A. No. 16763/2022, the respondent has filed the refiling history of the petition. The aforesaid refiling history would indicate that on 04 July 2022 as many as twenty-one objections had come to be recorded. Objection No. 21 would indicate that the Registry noted that no court fee had been paid nor had the one-time process fee been submitted. It further recorded that a copy of the award had also not been filed. Objection No. 6 set forth the defect of the Statement of Truth having not been filed in terms of the provisions contained in the Commercial Courts Act, 2015 [The 2015 Act] and insofar as they would apply to an arbitration proceeding relating to a commercial dispute of a specified value.

5. When the petition was thereafter presented before the Registry again on or about 04 July 2022, further objections came to be noted on 07 July 2022. The aforesaid objections are thereafter stated to have been attended to and removed and presented again. On 13 July 2022, the Registry noted that as against the original filing of the petition running over a mere 57 pages, 287 additional pages had been filed on 07 July 2022, a petition running over 903 pages presented thereafter and ultimately on 13 July 2022 a petition comprising of 911 pages came to be filed. The refiling history is extracted herein-below:

“REFILE DATE

DEFECTS

04-JUL-22

 

1.

IN CASE OF ELECTRONIC DOCUMENTS- DECLARATION ON OATH BE FILED BY THE PARTY FOR ELECTRONIC RECORDS AS PER ORDER XI RULE VI OF CPC.

2.

LIST OF DOCUMENTS BE FILED AS PER ORDER XI RULE II AS AMENDED BY COMMERCIAL ACT.

3.

PLEASE FILE IN NEW FORMAT IN FOUR PARTS WITH SEPERATE PAGAINTION AND INDEX FOR EACH PART AND ONE MASTER INDEX IN THE STARTING.

4.

ONE-TIME PF TO BE FILED BY THE PLAINTIFF AT THE TIME OF FILING OF THE PLAINT/PETITION/SUIT AND BY THE DEFENDANT AT THE TIME OF FILING OF THE WRITTEN STATEMENT. CH-I, R-13 -VI, R-2 -2018

5.

FULL NAME, PARENTAGE AND OTHER PARTICULARS INCLUDING EMAIL ID ADDRESS, DESCRIBING EACH PARTY BE GIVEN IN MEMO OF PARTIES. CH-III, R-1(C) ORDER OF DB IN WP(C) 10362/2017 DT. 21.11.2017-2018

6.

STATEMENT OF TRUTH BE FILED AS P

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