ORDER :

This is an assigned matter by an order dated 11th August 2017 passed on the administrative side by Hon'ble the Chief Justice, High Court of Jharkhand.

2. This writ petition filed by Jharkhand Bijli Vitran Nigam Ltd. (in short, Nigam) challenges award dated 14th July 2014 passed by the Jharkhand Micro, Small and Medium Enterprises Facilitation Council.

3. The challenge is premised on the ground that the Council did not adhere to the mandatory provisions under sub-section 3 to section 18 of the Micro, Small and Medium Enterprises Development Act, 2006 (in short, MSMED Act), in as much as, in the conciliation proceeding before the Council the claim raised by the applicant was resisted by the Nigam and the conciliation was not successful and, therefore, the dispute between the parties was required to be taken up for arbitration either by the Council itself or to be referred to any institution or centre providing alternate dispute resolution services.

4. Maintainability of the writ petition is under serious challenge by the respondent on the ground of statutory remedy of appeal.

5. The brief facts of the case are that M/s VEXCEL Computers Pvt. Ltd. was engaged in the work of meter reading, surveillance, computerised data logging and preparation of consumer bills for the erstwhile Jharkhand State Electricity Board (in short, JSEB). Initially a work order for the period between 01st October 2002 to 30th September 2004 was awarded to the applicant which was extended through different work orders till 31st December 2010. The applicant filed a claim on 12th July 2012 before the Council for payment of principal outstanding of Rs. 1,13,29,630/- with interest to the tune of Rs. 1,09,03,255/-. At the initial stage, the applicant had lodged a protest before JSEB that the work order contained several other items beyond NIT. A Purchase Committee was constituted which made a favourable recommendation on 18th February 2003 but in the light of the recommendations of the Purchase Committee the work order was not modified and as a result an amount of Rs. 35,91,279/- remained “keep back” amount. The applicant raised a claim for payment of “keep back” amount, service tax liability due against JSEB, amount deducted towards security deposit and performance guarantee and outstanding bills.

6. The claims raised by the applicant were resisted by the Nigam on the ground that M/s VXL Computers, a unit of the applicant, is made accused in Bistupur PS Case No. 150 of 2011. The said firm received excess payment of Rs. 4,43,45,377/- and therefore the Nigam seeks adjustment of the said amount before making the aforesaid payments due to the applicant.

7. The objections raised by the Nigam are summarised in the writ petition in the following paragraphs:

“12. That it is submitted that from bare perusal of the Annexure-2 and 3 of the present writ application it is evident that the then JSEB has opposed the prayer made by the respondent no. 2 before the learned council on following grounds:

A. That one FIR has been lodged by JSEB against one VXL Computers being Bistupur PS Case No. 150 of 2011 alleging huge misappropriation of public money by the said company and the fact is that both the companies are same and are owned by the same person and this is clear from the details given by the petitioner company before the Hon'ble Jharkhand High Court that VXL Computers is a unit of VEXEL Computers Pvt. Ltd. and same has also come in the order sheet dated 10.01.2014.

B. In para-3 of the aforesaid criminal writ application, the petitioner herein has given details about the VXL Computers on affidavit and it is the very same company against which respondent Jharkhand State Electricity Board (the then) has lodged First Information Report for recovery of excess payments made to VXL Computers to the tune of more than 2 Crores. The petitioner craves leave to produce a photo copy of the Criminal Writ Application No. 287 of 2011 at the time of next hearing of the case.

C. As per the pr