O R D E R

The petitioner and the respondent entered into a Memorandum of Understanding (MOU) dated 20.11.2020 for transfer of leasehold rights. Under clause 2 thereof, the total consideration was fixed at Rs.15,24,00,000/-. Clause 18 thereof provides for resolution of disputes by arbitration and the venue is fixed at Chennai. After the MOU was executed, the petitioner informed the respondent that lease transactions are considered as supplies and that GST would be applicable. The respondent was further informed that it would be entitled to input tax credit (ITC). The parties exchanged further correspondence whereby different options were proposed by the petitioner with regard to such GST liability. Eventually, by communication dated 30.03.2021, the respondent informed the petitioner that it is ready and willing to reimburse the GST only if the Advance Ruling Authority confirmed the eligibility of the respondent to full ITC. Since the Advance Ruling Authority ruled that the respondent would not be eligible for ITC, a dispute ensued. The petitioner issued notice dated 01.03.2022 under Section 21 of the Arbitration and Conciliation Act, 1996 and by reply dated 25.03.2022, the responden