HIGH COURT OF GUJARAT
M. R. SHAH, J.
CHUNILAL KAPOORCHANJI SHAH
Versus
YUVRAJ INDUSTRIES LIMITED
Special Civil Application No. 1679 of 2009
Decided On : JUNE 17, 2009
Arbitration and Conciliation Act, 1996 - Sections 9 and 34 - Constitution of India, 1950 - Article 227 - Petitioners-original applicants prayed for appropriate order and/or direction to quash and set aside impugned order by which learned Judge has dismissed said application submitted by petitioners-original applicants to join respondent Nos. 9 and 10 in said application and to grant injunction against them in application under Section 9 of Act, 1996 - Held, Under section order can be made by court before or during the arbitral proceedings or at any time after making of the arbitral award but before it is enforced in accordance with section 36 - Interim relief under Section 9 can be granted against third party/stranger to arbitration proceedings and arbitration agreement - Interim order can be passed by court under Section 9 so as to see that arbitration proceedings do not become infructuous - Directions issued - Order accordingly -
( 1 ) RULE. Mr. Kedar Biniwale, learned advocate waives the service of notice of rule on behalf of the respondent Nos. 8 and 9 and Mr. P. R. Thakkar, learned Advocate waives the service of notice of rule on behalf of the respondent No. 10.
( 2 ) AT the request of the learned advocates appearing on behalf of the respective parties, present petition is taken up for final hearing today.
( 3 ) HEARD Mr. S. N. Soparkar, learned senior Advocate appearing with Mr. R. S. Sanjanwala, learned Advocate appearing on behalf of the petitioners and Mr. Mihir thakore, learned Senior Advocate appearing with Mr. Kedar Biniwale, learned advocate appearing on behalf of the respondent Nos. 8 and 9 and Mr. P. R. Thakkar, learned Advocate appearing on behalf of the respondent No. 10.
( 4 ) BY way of this petition under Article 227 of the Constitution of India, the petitioners - original applicants have prayed for appropriate writ, order and/or direction to quash and set aside the impugned order dtd. 13/12/2008 passed by the learned principal District Judge, Vadodara below application Ex. 35 in Civil Misc. (Arbitration) Application No. 53 of 2007 by which the learned Judge has dismissed the said application submitted by the petitioners- original applicants to join the respondent nos. 9 and 10 in the said application and to grant injunction against them in application under Sec. 9 of the Arbitration and conciliation Act ("arbitration Act" for short ).
( 5 ) FACTS leading to the present Special civil Application, in nutshell, are as under:-
( 6 ) ARBITRATION proceedings were initiated between the petitioners and respondent Nos. 1 to 8 herein - original opponent Nos. l to 8 and disputes between the two groups i. e. C. K. Shah Group and v. K. Shah Group were referred to arbitration by sole arbitrator Smt. Shamima taly, Solicitor, High Court of Mumbai. It is the case on behalf of the petitioners that the disputes which were referred to the arbitration also concerned "bhadralok Land project". The said Bhadralok Land Project comprises of land bearing previously assigned Final Plot No. 199, now Final Plot no. 259 of Town Planning Scheme No. 22, revenue Survey No. 139/2 of Village Akota, in the Sim of Akota, Tal. Vadodara, District vadodara. Initially an interim Award dtd. 6/ 11/2000 was declared by the learned sole arbitrator. That thereafter final order came to be passed on 29/11/2001 by the learned sole arbitrator. That being aggrieved by and dissatisfied with the Award declared by the learned sole arbitrator dtd. 29/11/2001, the petitioners herein - original applicants have filed application under Sec. 34 of the arbitration Act being Arbitration misc. Application No. 47 of 2002 before the district Court, Vadodara which is still pending for consideration. It is the case on behalf of the petitioners that by virtue of sec. 36 of the Arbitration Act, enforcement of the award during the pendency of Sec. 34 application is not permissible. It is the case on behalf of the petitioners that as the disputes between the parties are with regard to Bhadralok Land Project, the learned arbitrator has been pleased to uphold the development agreement in favour of the company and also pleased to accept the contention of the V. K. Shah Group. That the power of attorney executed by the petitioners Nos. 2,3,4,6 and 7 as owners of the plot Nos. F to J is irrecoverable, the said award of the learned arbitrator has been disputed by the petitioners and the challenge to the Award is pending: consideration. It is the case on behalf of the petitioners that they learnt that by Feed of conveyance dtd. 22/2/2007 showing the applicant Nos. 2,4,6 and 7 as vendors; yuvraj Industries Limited as the confirming party and Aasman Trading Private Limited, respondent No. 10 herein as the purchaser. Plot Nos. G,h,i and J have been conveyed to the said purchaser for a total consideration of Rs. 2. 42 Crores and the said sale deed has been executed by V. K. Shah relying upon the power o
Login now and unlock free premium legal research
Login to SupremeToday AI and access free legal analysis, AI highlights, and smart tools.
Login
now!
India’s Legal research and Law Firm App, Download now!
Copyright © 2023 Vikas Info Solution Pvt Ltd. All Rights Reserved.