JUDGMENT

M.S.Ramachandra Rao, J. - This Appeal is filed by the appellants under Section 13(1A) of the Commercial Courts Act, 2015 challenging the order dt.07.07.2020 in I.A.No.6 of 2020 in ICOM AOA No.5 of 2019 of a learned Single Judge of this Court sitting in Commercial Division. The brief facts leading to the filing of this Appeal are as under:

2. The appellants had obtained a Final Award dt.04.10.2019 against the respondents from the Arbitral Tribunal and under the terms of the said Final Award, the respondents were directed to pay an amount of Rs.679.40 crores along with interest and costs to the appellants jointly and severally.

3. The respondents challenged the said Final Award under Section 34 of the Arbitration and Conciliation Act, 1996 (for short "the Act") vide ICOM AOA Nos.7 and 8 of 2019 which are pending before this Court. There is no stay on the enforcement of the Award though respondents 1 to 6 have filed an Application seeking stay of the enforcement of the Award.

4. It is also stated by the appellants that they had initiated execution proceedings before the City Civil Court, Hyderabad for execution of the said Award, but they could not be taken up for hearing due to COVID-19 pandemic and the resultant limited operation of Courts.

ICOM AOA No.5 of 2019

5. The appellants filed ICOM AOA No.5 of 2019 under Section 9 of the Act for interim relief to protect their interests under the Award till the Award is enforced in accordance with Section 34 of the Act contending that the financial position of the respondents was precarious, that it was fast depleting and that the respondents have a tendency of obstructing enforcement of the appellants' rights.

The undertaking dt.13.11.2019 given by the respondents

6. On 13.11.2019, when ICOM AOA No.5 of 2019 was heard by the learned Single Judge, the respondents gave an undertaking not to alienate any of their assets till the next date of hearing. Thereafter, the matter was posted to 18.11.2019, but it was listed on 25.11.2019 and this Court directed that the order dt.13.11.2019 would stand continued till 03.02.2020.

The first modification dt.5.12.2019

7. Thereafter, the matter was listed on 05.12.2019 and the learned Single Judge of this Court modified the order passed on 13.11.2019 to the effect that the respondents shall not alienate any of the assets of the company till the next date of hearing except in the "ordinary course of business".

The next interim order dt.31.12.2019

8. Thereafter, the matter was listed on 31.12.2019 before the learned Single Judge who passed the following order:

"It is clarified that the order dt.13.11.2019 has not been varied by the order dt.05.12.2019 except to the extent of permitting the company to deal with the assets of the company in the usual course of business. List the matter on 17.02.2020."

9. On 17.02.2020, the interim order granted on 31.12.2019 was extended until further orders.

I.A.No.6 of 2020

10. This prompted the appellants to file I.A.No.6 of 2020 on 11.06.2020 before the learned Single Judge to modify the order dt.31.12.2019 made in ICOM AOA No.5 of 2019 by deleting the words "except to the extent of permitting the company to deal with the assets of the company in the usual course of business"; and to direct the respondents not to deal with the assets held by them either directly or indirectly.

The plea of the appellants in I.A.No.6 of 2020

11. It was contended in the said Application by the appellants that the 1st respondent had misused the liberty granted by this Court by selling its lucrative direct and indirect shareholdings in Navayuga Dhola Infra Projects Limited (Dhola) and Navayuga Dibang Infra Projects Private Limited (Dibang) to Sekura Roads Limited (Sekura) for approximately USD 140 million (INR 1,057 crores), in willful disobedience of the orders of this Court; that the respondents have insufficient unencumbered liquid assets to satisfy the Award and the financial position of the respondents is exacerbated by the sa