IMPORTANT POINT
The main legal point established in the judgment is the requirement for a prima facie case or crystallization of debt due to obtain interim measures under Section 9 of the Arbitration Act, and the consideration of the contentious nature of the Respondent's financial situation.

JUDGMENT

Sanjeev Sachdeva, J. -Appellant- Shanghai Electric Group Co. Ltd (hereinafter referred to also as Shanghai Electric) by way of this Appeal under Section 37 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as the "Arbitration Act") impugns judgment dated 19.07.2022, whereby petition filed by it under Section 9 of the Arbitration Act was dismissed.

2. Appellant filed the petition seeking urgent interim reliefs, inter alia, to secure the amount in dispute in arbitration (i.e., approx. INR 1100 Crores) that was allegedly due and payable to the Appellant by the Respondent- Reliance Infrastructure Ltd (hereinafter referred to also as Reliance Infrastructure) under guaranteed letter dated 26.06.2008, issued by the Respondent to the Appellant . Appellant filed the Petition contending that the Arbitral Award when passed would be incapable of execution in absence of any interim protection.

3. Learned Single Judge of this Court has dismissed Appellant 's Petition holding that the concerns raised by Appellant over Respondent's financial situation and resources, was a highly contentious issue. The relief sought (i.e. an order to secure the sum sought before the rendering of an Arbitral Award) is comparable and akin to the type of relief sought under Order 38 Rule 5 of the Code of Civil Procedure, 1908 (i.e., attachment before judgment). It has been held that there is nothing to support the assertion that any asset sales were being made with the aim of keeping Appellant from receiving the benefits of the award it was pursuing.

4. It has been further held that in order to obtain the reliefs, Appellant s must inter alia demonstrate a prima facie case or crystallization of debt due, supported by substantial evidence, and prove the suspicion that Respondent was trying to remove, sell or dissipate the assets with the objective of defeating the Arbitral Award that may be passed.

5. Appellant - Shanghai Electrics engaged in the business of inter alia, supplying equipment and services relating to the design, engineering and manufacturing, installation of the main body of turbines and generators and the supervision of erection and commissioning of boilers, turbines and generators, including associated accessories and spare parts.

6. Respondent -Reliance Infrastructure is engaged in the business of inter alia, operating and carrying out engineering, procurement and construction services for various power projects, including thermal power plants.

7. On 20.05.2008 Appellant and Respondent entered into a Framework Agreement for Long Term Strategic Cooperation for various power generation (Framework Agreement) including the ultra-mega power project (UMPP) at Sasan, Madhya Pradesh (hereinafter referred to as "Sasan UMPP").

8. Appellant and a wholly owned subsidiary of the Respondent i.e. Reliance Infra Projects (UK) Limited (hereinafter referred as "Reliance UK") entered into an Equipment Supply and Service Contract dated 26.06.2008 (hereinafter referred to as "Supply Contract") under which, Shanghai Electric was engaged as the contractor to inter alia, supply equipment, erect the main body of the turbines and generators and provide supervision services to Reliance UK in relation to erection and commission of six units of boilers, turbines and generators, including associated accessories and spare parts for the six units of Sasan UMPP.

9. According to the Supply Contract, Reliance UK was obliged, inter alia, to pay SEGCL a lump sum contract price of US $1,311,000,000 (approx. INR 9461 crores), which comprised the equipment supply price of US dollars 1,286,000,000 (approx. INR 9,475 crores) and service price of US dollars 25,000,000 (approx. INR 184 crores).

10. Respondent Reliance Infrastructure being the parent company of Reliance UK, issued a Guarantee Letter dated 26.06.2008 (hereinafter referred to as "Guarantee Letter") to Appellant -Shanghai Electric to secure the performance and payment obligations of Reliance UK.

11. In complia