HIGH COURT OF SIKKIM
Meenakshi Madan Rai, Bhaskar Raj Pradhan, JJ.
Sikkim Power Development Corporation & Anr. - Appellants
Versus
Amalgamated Transpower (India) Ltd. - Respondent
Review Pet.(C) No. 01 of 2022
Decided On : 28-07-2022
| Table of Content |
|---|
| 1. (Para 1 , 2 , 3 , 4 , 5 , 6 , 8 , 9 , 10 , 11 , 12 , 13 , 14 , 15) |
JUDGMENT
Meenakshi Madan Rai, J. - The Petitioners/Appellants have filed an application under Order XLVII Rule 1 of the Code of Civil Procedure, 1908 (for short, the 'CPC'), dated 01-02-2022, seeking a review of the Order dated 07-10-2021 passed in I.A. No.1 of 2020 in Arb.A. No.1 of 2020, on grounds that the Order suffers from an error apparent on the face of it.
2(i). For clarity in the matter, it is essential to recapitulate that the Petitioners/Appellants under Section 34 of the Arbitration and Conciliation Act, 1996 (for short, the 'Arbitration Act') had challenged the Award dated 30-09-2017 of the sole Arbitrator before the Learned Commercial Court, East Sikkim, at Gangtok, in Arbitration Case No.05 of 2017 [Sikkim Power Development Corporation Ltd. (SPDCL) and Another v. Amalgamated Transpower (India) Ltd. (ATPIL)]. The Arbitral Tribunal had allowed the claim filed by the Respondent and dismissed the counter-claims filed by the Petitioners/Appellants. A decree of specific performance of the Agreement dated 21-12-2002 was passed in favour of the Respondent with damages against the Appellants. The Learned Commercial Court, East Sikkim, at Gangtok, partly upheld the Arbitral Award dated 30-09-2017 vide its impugned Order dated 26-12-2019. An Appeal being Arb.A. No.01 of 2020 against the finding of the Learned Commercial Court was filed by the Petitioners herein.
(ii) Notice was issued on 22-06-2020 to the Respondent on I.A. No.01 of 2020 supra the application filed by the Appellants seeking a Stay of the impugned Judgment of the Learned Commercial Court. In the interregnum, the Learned Single Judge of this Court granted ex parte ad interim stay of the impugned Judgment until further orders.
(iii) After hearing the rival submissions of Learned Counsel for the parties, the ex parte ad interim order of stay was confirmed vide Order dated 07-10-2021. The directions of this Court in the said Order were inter alia as follows;
'8.(i) In view of the rival contentions put forth, we are of the considered opinion that Learned Counsel for the Appellants has made out a case for grant of Stay of the operation of the Arbitral Award till further orders of this Court.
(ii) Consequently, the ex parte ad interim Order of Stay granted by this Court vide Order, dated 22.06.2020, stands confirmed until further orders.
(iii) However, considering the submissions of Learned Counsel for the Respondent as reflected supra, whereby his specific prayer is for deposit of the amounts as granted in Prayer 'G' and Prayer 'I', the Appellants are directed to deposit two Bank Drafts, one for a sum of Rs.85,43,11,904/- (Rupees eighty five crores, forty three lakhs, eleven thousand, nine hundred and four) only, (i.e. Rs.47,13,53,405/- + Rs.38,29,58,499/-) and another for a sum of Rs.265,10,00,000/- (Rupees two hundred and sixty five crores and ten lakhs) only, within sixteen weeks from today.
.............................................................................'
3. The Appellants filed the instant Review Petition on 01- 02-2022 as stated supra seeking a review of the Order dated 07- 10-2021, along with I.A. No.01 of 2022 an application under Section 5 of the LIMITATION ACT , 1963, seeking condonation of 76 days delay in filing the Review Petition, while placing reliance on the Order of the Hon'ble Supreme Court dated 10-01-2022 in In Re : Cognizance for Extension of Limitation [Miscellaneous Application No.21 of 2022 in Miscellaneous Application No.665 of 2021 in Suo Motu Writ Petition (C) No.03 of 2020]. Contesting the aforementioned delay, the Respondent on 21-02-2022 filed I.A. No.05 of 2022 in Arb.A. No.01 of 2020 and averred inter alia as follows therein;
'18. That, in addition to the Review Petition, the Appellants have also filed an Application of Condonation of delay of 76 days (i.e. from 06.11.2021 to 20.01.2020) sighting (sic) Hon'ble Supreme Court of India's suo-m
ITI Ltd. vs. Siemens Public Communications Network Ltd.
Mahanagar Telephone Nigam Limited vs. Applied Electronics Limited (2017) 2 SCC 37
MCD vs. International Security & Intelligence Agency Ltd.
National Aluminium Co. Ltd. vs. Pressteel & Fabrications (P) Ltd. [(2004) 1 SCC 540
Satyanarayan Laxminarayan Hegde vs. Mallikarjun Bhavanappa Tirumale AIR 1960 SC 137
The court affirmed its jurisdiction to review its orders while highlighting that a mere filing of a review petition does not grant a stay on award enforcement unless complying with statutory requirem....
The court ruled that a full deposit of the arbitral award amount is mandatory before granting a stay under Section 36 of the Arbitration and Conciliation Act, 1996.
An unconditional stay of an arbitral award is impermissible unless specific statutory conditions under Section 36(3) of the Arbitration Act are fulfilled.
Scope to stay execution proceeding by Executing Court is limited – It is only an interim arrangement enabling the party to obtain stay order from appropriate Court, including Appellate Court.
The court emphasized that the conditions for stay of an arbitral award should not differ based on whether a party is a statutory body, reinforcing the principle of equal treatment under the Arbitrati....
Arbitration Award – Execution - By virtue of the provisions of Section 36, since it is a money decree and the Code of Civil Procedure in Order XLI Rule 1(3) mandates imposition of the terms and condi....
The court clarified that award debtors must deposit the full awarded sum as a condition for staying enforcement, emphasizing that both public and private parties are subject to the same requirements ....
power enshrined under Section 151 of the Code can be exercised if there is no express provision contained in the Code or the Special Act.
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.