ORDER :

1. Heard Mr.Ch.Krishna Reddy, M/s. Chandrasen Law Offices, learned counsel for the applicant and Mr.Sharad Sanghi, learned counsel for the respondents.

2. This application has been filed under Section 11 (6) of the Arbitration and Conciliation Act, 1996 (briefly ‘the 1996 Act’ hereinafter) for appointment of arbitrator.

3. According to the applicant, he and respondent No. 1 were promoters and directors of a company called M/s.RKR Builders and Promoters Private Limited, which was incorporated under the provisions of the Companies Act, 1956 on 09.12.2002. Principal objective of the aforesaid company was to acquire lands, develop the plots and make construction thereon. Company had purchased lands under two registered sale deeds bearing No. 9238 of 2003 dated 04.08.2003 and bearing No. 10961 of 2003 dated 05.09.2003, details of which are mentioned in paragraph No. 2 of the supporting affidavit.

4. Apart from the above two sale deeds, applicant and respondent No. 1 had also purchased land individually vide sale deeds bearing No. 9730 of 2002 dated 28.10.2002 and bearing No. 9992 of 2002 dated 28.10.2002, the details of which are mentioned in paragraph No. 3 of the supporting affidavit. It is stated that the above two properties were jointly purchased by the applicant and respondent No. 1 by sharing 50% of the sale consideration. All the above four sale deeds were registered documents.

5. Applicant and respondent No. 1 had entered into an unregistered partition deed dated 06.11.2015 agreeing to divide the entire properties including those belonging to M/s.RKR Builders and Promoters Private Limited in the manner provided in paragraph No. 4 of the supporting affidavit. It was also agreed in the partition deed that applicant would pay an amount of Rs.62,85,000-00 to respondent No. 1 for the alleged expenses incurred by respondent No. 1. In terms thereof applicant has paid Rs.40,00,000-00 to respondent No. 1 in presence of three persons who were mediating between applicant and respondent No. 1.

6. Thereafter, the company i.e. M/s.RKR Builders and Promoters Private Limited was converted into a Limited Liability Partnership (LLP) on 24.11.2016.

7. Applicant paid the balance amount of Rs.30,00,000-00 to the three private mediators which included interest of Rs.7,15,000-00. Thereafter, applicant and respondent No. 1 representing the LLP sold certain plot of land for total consideration of Rs.2,72,50,000-00.

8. After the above transaction, a supplemental deed dated 23.11.2019 was executed. It was agreed between the applicant and the first respondent that an amount of Rs.2,21,78,730-00 should be paid to the retiring partner i.e. the applicant which was equivalent to the applicant’s shareholding, right, title and interest in the LLP. However, respondents did not handover the cheque for such amount to the applicant.

9. The entire transactions with regard to the immovable property of the LLP were filed before the Registrar of Companies. Based on the partition deed dated 06.11.2015, applicant was to be paid the sale consideration amount of the property sold by the LLP. After retirement of the applicant, respondent No. 2 being the wife of respondent No. 1 came to be inducted as a partner in the LLP.

10. Applicant has paid Rs.2,22,00,000-00 to the first respondent as agreed to in the Memorandum of Understanding (MoU) dated 05.08.2007. The manner of payment has been described in paragraph No. 8 of the supporting affidavit. According to the applicant, respondent Nos.1 and 2 had cheated him and therefore he would like to cancel the supplemental deed dated 23.11.2019 and continue as partner of the LLP. Applicant issued notice dated 20.08.2020 invoking the arbitration clause No. 40 in the LLP agreement dated 24.11.2016.

11. Applicant also filed a petition under Section 9 of the 1996 Act before the Principal District Judge, Ranga Reddy district, which was numbered as OP No. 25 of 2020. It is stated that learned Court below had granted injunction on 11.09.2