High Court of Kerala
P.D. RAJAN, J.
Cochin Bridge Infrastructure Company Ltd., represented by its Authorised Signatory, Vinod Parekh
Versus
Greater Cochin Development Authority (GCDA), represented by its Secretary & Others
OP (C). No. 1111 of 2014 (O)
Decided on: 29-04-2014
Article 227 - Toll Collection - Arbitration and Conciliation Act, 1996 - Companies Act - Government Order - Mattancherry Bridge - Ext.P3, Ext.P4, Ext.P5, Ext.P7, Ext.P8, Ext.P9 - The court discussed the validity of toll collection by the petitioner after the expiration of the concession agreement, the role of the Government Orders, and the jurisdiction under Article 227 of the Constitution of India.
Fact of the Case:
The petitioner, a company incorporated under the Companies Act, sought a direction to prevent interference with toll collection from the Mattancherry bridge until the disposal of the arbitration proceedings. The respondents contended that the toll collection period had expired and raised objections regarding the agreement and involvement of the Government of Kerala.
Finding of the Court:
The court found that it lacked jurisdiction under Article 227 after the expiration of the original concession agreement. It dismissed the petitioner's request for directions and injunctions, citing the expiration of the agreement and the scope of arbitration.
Issues: Validity of toll collection after agreement expiration, involvement of the Government of Kerala, jurisdiction under Article 227.
Ratio Decidendi: The court held that it lacked jurisdiction under Article 227 after the expiration of the original concession agreement and that the petitioner's requests for directions and injunctions could not be granted.
Final Decision: The petition was dismissed as the court found no merit in the petitioner's claims.
1. This petition is preferred under Article 227 of the Constitution of India seeking a direction to the respondents not to interfere with the collection of the toll by the petitioner from the vehicles passing through the Mattancherry bridge in terms of the Arbitrators' interim orders and other reliefs claimed in Ext.P1 and W.P.(C)No.13178/07 till disposal of the above O.P.(Arb) of the District Court, Ernakulam.
2. The petitioner is a Company incorporated under the Companies Act and has the right to collect toll from the Mattancherry Bridge as per the Concession Agreement and the Supplementary Agreement. There arise dispute between the petitioner and the respondents and the matter was referred for Arbitration. Now the arbitration proceedings are pending before arbitrators and as per the direction of the Arbitrators, the toll is now being collected until further orders. Now the Chairman of the 1st respondent issued a press release informing that on 27.04.2014, they will interfere with the collection of the toll by taking over the Bridge and will not issue sealed coupons for collecting toll. Under the circumstances, the petitioner filed an application for injunction before Vacation Court, u/s.9 of the Arbitration and Conciliation Act, 1996 and that application was posted to 30.4.2014 for return of notice and for appearance of the respondents. The learned counsel for the petitioner sought for an early posting date on 25.4.2014 expressing his willingness to take out notice by special messenger, but that was not considered and the case was posted to 30.4.14. In such a situation, the petitioner approached this Court.
3. The respondents have not filed any written objection. They contended that the toll collection is according to the notification issued by the Government. The right to collect the toll came to an end on 27.4.2014 since the agreement with the petitioner was for a period of 13 years and 9 months, which expires on that date. After that, respondents have no power to seal the toll coupons in the absence of a new notification by the Government. The respondents had issued sealed toll coupons only on the basis of the earlier rates mentioned in the notification. Now the arbitration proceedings are pending and they are ready to co-operate with the arbitration proceeding, but petitioner has not impleaded the Government of Kerala as a necessary party in this petition.
4. The learned counsel for the petitioner contended that they have right to collect toll for another six years from 27.4.2014 by virtue of Ext.P3 Government Order. But the respondents strongly resisted the above contention and contended that there is no such agreement with them and the new concession period is the extended claim by the petitioner, which came to an end on 27.4.2014.
5. It is true that the petitioner filed Ext.P1 O.P.(Arb) before District Court, Ernakulam. In Ext.P1, there was a request to grant prohibitory injunction restraining the respondents, their officials and agents from causing any sort of obstruction or hindrance in the matter of toll collection. They also sought for a mandatory injunction directing the respondents to issue sealed coupon to the petitioner for collecting the toll and also to render police protection to the employees of the petitioner at the time of collecting the toll. But, the case was posted on 30.4.2014.
6. In this context, I have considered Ext.P1(15) concession agreement dated 27.10.99 executed between Gamon India Ltd, the Government of Kerala and the respondents regarding construction, operation and maintenance of the new bridge connecting Mattancherry and Willington Island. The petitioner is a subsidiary company promoted by the Gamon India Company executed a supplementary agreement between Government of Kerala, Gamon India Ltd and respondents. In the concession agreement, it is admitted by both parties that agreement came to an end on 27.4.2014. Ext.P3 is a Government Order dated 24.1.2005, in which the Governm
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