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A.F.R.

HIGH COURT OF MADHYA PRADESH PRINCIPAL SEAT

AT JABALPUR

Contempt Petition

1714 of 2020

Parties Name

M/s Sumeet Agencies

Vs.

Mrs. Sonia Meena and another

Bench Constituted

Single Bench

Judgment delivered

By

Hon’ble Shri Justice Vishal Dhagat.

Whether approved

for reporting

Yes.

Name of counsel for

parties

For Applicant : Shri Sanjay Agrawal,

Advocate.

For Respondent No.1 : Shri Anshuman

Singh, Advocate.

Law laid down

Error of judgment or decision is not contempt

but ex-facie disobedience of the order amounts

to contumacious conduct, which attracts

contempt proceedings against concerned party.

Significant paragraph

number

8

(O R D E R)

28/01/2022

Petitioner has filed this contempt petition making a prayer for

initiation of contempt proceedings against respondents contemnors, who

had deliberately and voluntarily disobeyed orders of this Court dated

19.08.2019 and 17.09.2019 passed in Arbitration Appeal No. 60/2019.

2.

Counsel appearing for petitioner submitted that by order dated

21.07.2016, Managing Director-respondent No.1 had cancelled agreement

of way side amenity situated at Sakadehi, Betul and petitioner was asked to

hand over vacant possession to M.P. State Tourism Development

Corporation. Petitioner raised a dispute before Arbitrator as per Clause 36

2

Conc No. 1714/2020

of agreement. Arbitrator vide its award dated 03.10.2017 passed following

orders : -

"For the reasons analysed hereinabove this authority

gives the following order to the respective relief sought in

the claim filed by the applicant.

(i) This authority is of the view that the impugned

order dated 21.07.2016 passed by respondent

No.3 regarding termination of the contract will

remain enforceable and there is no need to

interfere with it.

(ii) In the light of the fact that the contract has

been already terminated there is no need for this

authority to direct the Corporation to give

direction for providing facilities at the WSA.

(iii) In this relief the applicant has to pay the lease

rent as demanded by the respondent Corporation.

As far as counterclaim filed by the respondent

Corporation the same are bare demands and only service

tax and interest as per the contract which justifiably

should be paid by the applicant to the Corporation. Thus

it should be paid by the applicant to the corporation.

Hence this authority awards the counterclaim of Rs.

9,76,247.65/- in favour of Corporation the respondent.

The cost claimed by the respondent Corporation of Rs.

1,00,000/- (One lakh only) is not accepted by this

authority and it is disallowed. Both the parties will bear

their respective costs."

3.

Petitioner filed an application under Section 34 of Arbitration and

Conciliation Act, 1996 calling in question award dated 03.10.2017.

Learned 3rd Additional District Judge, Betul vide its order dated

25.07.2019 dismissed the application. Petitioner filed Arbitration Appeal

No. 60/2019 before High Court under Section 37 of Arbitration and

Conciliation Act, 1996. High Court vide its order dated 19.08.2019 stayed

operation of impugned orders dated 03.10.2017 and 25.07.2019.

3

Conc No. 1714/2020

4.

Counsel appearing for petitioner submitted that sole Arbitrator

passed award that order dated 21.07.2019 passed by Managing Director,

M.P. State Tourism Development Corporation will remain enforceable.

Said order was stayed in Arbitration Appeal, therefore, termination of way

side amenity agreement was stayed and respondents contemnors had

committed wilful disobedience of stay order by taking possession over

way side amenity. On basis of aforesaid submission, prayer was made for

initiating contempt proceedings and punish the contemnors for

disobedience of Court order.

5.

Respondent No.1 filed reply to contempt petition and submitted that

there was no wilf

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