Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | maintainability of foreign awards s. 48 Arbitration and Conciliation Act constructive res judicata 1996 |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Act(s) Referred | Insolvency and Bankruptcy Code, 2016 (31 of 2016) Arbitration and Conciliation Act, 1996 (26 of 1996) |
Case(s) Referred | Referred Case 0 Referred Case 1 |
Case Type | Special Leave Petition |
Court | Supreme Court of India |
Disposal Nature | Petition Dismissed |
Headnote | Arbitration and Conciliation Act, 1996 – s. 48 – Parties entered into separate contracts for sale of Non-Basmati Parboiled Rice,Thailand origin– Contract governed by GAFTA 48 and disputes were to be resolved by Arbitration 125 as per GAFTA 125 in London– Dispute arose – Arbitral Tribunal passed two separate awards –Respondent filed two execution cases (pertaining to contract-I and contract-II) u/Part-II of the 1996 Act before the High Court for enforcement of the foreign arbitral award – Petitioner’s objection regarding the maintainability of the subject foreign awards rejected– Special Leave Petitions (pertaining to contract-I & II) filed by the petitioner– Dismissed– Single Judge in the execution petition held that the subject foreign awards were deemed to be decrees and hence enforceable –Order upheld by the Division Bench – Petitioner then filed review application in the execution case – Dismissed –Petitioner filed G.As. in the respective execution cases, objecting the enforceability of the foreign awards – Rejected – On appeal,held: Grounds urged by the petitioner in the earlier round regarding the maintainability of the execution case could not have been considered in isolation and de hors the issue of enforceability of the subject foreign awards – Scheme of s.48 does not envisage piecemeal consideration of the issue of maintainability of the execution case concerning the foreign awards, in the first place;and then the issue of enforceability thereof – Subject application filed by the petitioner deserves to be rejected, being barred by constructive res judicata – After an interim order was passed in favour of the respondent permitting withdrawal of part of the amount deposited in the High Court in relation to the execution of the subject foreign awards, the petitioner lost no time in changing the name ofthe company within three days thereafter–Petitioner also changed its registered office address and had no compunction in moving the NCLT, Kolkata to prevent the respondent from enjoying the fruits of the subject awards, and saying so brazenly in the petition filed by it u/s.10 of the I & B Code – Conduct of the petitioner is indicative of an attempt to overreach this Court – High Court considered every aspect of the grounds urged by the petitioner and the view so expressed is a possible view – Exemplary costs, quantified at Rs.20,00,000/- be paid to the respondent – Registrar (OS), Calcutta High Court to en cash the FDs lying deposited in the credit of the concerned stated execution case and, after obtaining the RBI’s permission forthwith, remit the entire amount, including the interest accrued in US Dollars, to the respondent – Principles of res judicata– Insolvency & Bankruptcy Code, 2016 – s.10. |
Judge | Hon'ble Mr. Justice A.M. Khanwilkar |
Neutral Citation | 2019 INSC 241 |
Petitioner | Lmj International Ltd. |
Respondent | Sleepwell Industries Co. Ltd. |
SCR | [2019] 4 S.C.R. 617 |
Judgement Date | 2019-02-20 |
Case Number | 540 |
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