IN THE HIGH COURT OF JUDICATURE AT PATNA Miscellaneous Appeal No.238 of 2021 ======================================================

1. The State of Bihar.

2. The Chief Secretary, Government of Bihar.

3. The Principal Secretary, Finance Department, Government of Bihar having office at Old Secretariat, P.S.- Sachvalay, Patna.

4. The Principal Secretary, Minor Irrigation Department, Government of Bihar.

5. The Principal Secretary, Cooperative Department, Government of Bihar.

6. The Registrar Cooperative Societies, Bihar, Patna.

... ... Appellant/s Versus The Bihar Rajya Bhumi Vikas Bank Samiti, Bihar- Jharkhand, Now known as Multi State Cooperative Land Development Bank Ltd. Bihar and Jharkhand, having office at Budha Marg, P.S.- Budha Colony, District- Patna.

... ... Respondent/s ======================================================

Appearance :

For the Petitioners : Mr. Pushkar Narain Shahi, Sr. Advocate Mr. Patanjali Rishi, Advocate For the Respondents : Mr. Y.V.Giri, Sr. Advocate Mr. Rajesh Prasad Choudhary, Advocate Mr. Ashutosh Kumar Upadhyaya, Advocate ======================================================

CORAM: HONOURABLE MR. JUSTICE PARTHA SARTHY C.A.V. JUDGMENT Date : 08-01-2024

1. The instant appeal has been preferred under section

37(1)(c) of the Arbitration and Conciliation Act, 1996 (‘the Act’ in short) praying for setting aside the judgment dated 9.10.2020 passed in Miscellaneous Case no.32 of 2016 whereby the learned Additional District Judge-X, Patna was pleased to dismiss the petition under section 34 of the Act filed by the appellants.

2. The relevant facts for the purpose of the instant appeal are that the Multi-State Cooperative Land Development Bank (herein after referred to as ‘the Bank’) filed CWJC no. 1730 of 2010 in the Patna High Court for commanding the State of Bihar to release a sum of Rs. 570.79 crores which according to the Bank stood as dues under different heads along with the interest accrued there upon. The case of the Bank was that it had advanced loans for agricultural purposes at the instance of the State of Bihar, on its assurance that it will make good the loss suffered by the Bank. Taking note of the fact that adjudication of the issues involved examining of conflicting claims and documents which would be difficult for this Court to decide in its writ jurisdiction, this Court disposed of CWJC no. 1730 of 2010 by order dated 19.10.2012 ordering that the petitioner Bank would to take steps for appointment of an Arbitrator in terms of section 11 of the Act for settling the disputes or may request the State Government to appoint a committee consisting of senior officials, one of which must be serving with the Central Government.

3. Pursuant to the directions of this Court as contained in order dated 19.10.2012, the Bank filed Request Case no. 4 of

2013.

4. By order dated 7.3.2014, this Court was pleased to dispose of the Request Case no.4 of 2013 appointing Hon’ble Mr. Justice Shubash Chandra Jha (Retd.) as the sole-Arbitrator with a direction to the Arbitrator to decide the same at the earliest but not later than six months from the day statement of claim is received by him.

5. The State of Bihar preferred L.P.A. no. 748 of 2013 against the order dated 19.10.2012 passed in CWJC no.1730 of 2010. The State of Bihar also preferred S.L.A (Civil) no. 15552 of 2014 against the order dated 7.3.2014 passed in Request Case no.4 of 2013, appointing an Arbitrator in the case. The Hon’ble Supreme Court by its order dated 14.7.2014 was pleased to dismiss S.L.A (Civil) no.15552 of 2014. Subsequently, taking note of submission of learned counsel for the State that he did not intend to press the appeal (L.P.A no.748 of 2013), this Court by its order dated 10.11.2016 dismissed L.P.A no.748 of 2013 as not pressed.

6. On the advocate for the Bank appearing, the sole Arbitrator issued notice to all the respondents on which objections were filed by the State of Bihar, the Department of Finance as also the Minor Irrigation Depart