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2014 Supreme(Online)(KER) 43323

HIGH COURT OF KERALA
B.KEMAL PASHA, J
M/S SHRIRAM TRANSPORT FINANCE COMPANY LTD – Appellant
Versus
CHINCHU SUGUNAN – Respondent


O R D E R

The short point to be decided is whether the Arbitral Tribunal can pass an interim order of protection within the meaning of Section 17 (1) of the Arbitration and Conciliation Act, 1996 (for short 'The Act').

2. By hypothecating a vehicle, the first respondent herein availed a vehicle loan from the revision petitioner, finance company. It seems that he had defaulted instalments of repayment and consequently, on the basis of the arbitration clause in the agreement, an Arbitrator was appointed. The Arbitrator has passed an order by invoking the powers under Section 17 (1) of the Act and directed the first respondent to surrender the vehicle to the revision petitioner. The assistance of the police is also seen ordered by the Arbitrator for getting that order executed. The said order was challenged by the first respondent herein as appellant before the District Court, Kottayam through CMA 11 of 2011. The learned Additional District Judge by placing reliance on the decision of the Apex Court inM.D.Army W.H.O. v. Sumangal Services Pvt. Ltd. - AIR 2004 SC 1344 , held that the Arbitral Tribunal has no power to pass an order under , in the absence of any specific agreement in rela

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