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Calcutta High Court

Mintech Global Private Limited vs Kesoram Industries Limited - Cement ... on 10 October, 2023

Author: Moushumi Bhattacharya

Bench: Moushumi Bhattacharya

OCD-22
                              ORDER SHEET
                    IN THE HIGH COURT AT CALCUTTA
                     Ordinary Original Civil Jurisdiction
                              ORIGINAL SIDE


                              EC/335/2023

               MINTECH GLOBAL PRIVATE LIMITED
                             VS
         KESORAM INDUSTRIES LIMITED - CEMENT DIVISION


  BEFORE:
  The Hon'ble JUSTICE MOUSHUMI BHATTACHARYA
  Date : 10th October, 2023.


                                                                             Appearance:
                                             Mr. Kalyan Kumar Bandopadhyay, Sr. Adv.
                                                        Mr. Sirsanya Bandopadhyay, Adv.
                                                                  Mr. Avishek Guha, Adv.
                                                            Mr. Rahul Kumar Singh, Adv.
                                                                   Mr. Subhajit Das, Adv.
                                                                  ... for the award holder.

                                                                   Mr. Mainak Bose, Adv.
                                                                        Mr. D. Saha, Adv.
                                                                  ... for the award debtor.




      The Court: The award holder seeks execution of an award dated

20th March, 2023 passed by a three member Arbitral Tribunal awarding

an amount of Rs.125,62,90,261/- which today is Rs.129.41 crores.

      There is admittedly no application for stay of the award. Section

36(1)&(2) of the 1996 Act makes it clear that after expiry of the time for

filing an application for setting aside of the award under Section 34 or

regardless of the filing of the Section 34 application, the award holder

will be entitled to execute and enforce the award. The only brake in that

momentum is where an award debtor obtains stay of the award under

Section 36(3) of the Act. In the present case, there is no application for
                                       2


stay and hence the award remains at large. The award holder hence is

entitled, under the statute, to seek enforcement of the award.           The

immediate prayer of the award holder is for a direction on the award

debtor to return the original title deeds which were directed to be

returned within two weeks from the date of the award. This prayer is

found to be justified since the last paragraph of the award records that

the equitable mortgage created by claimant/award holder who deposited

the title deeds stands discharged.    The respondent/ award debtor has

not complied with the direction, although more than six months have passed since the making of the award. The award debtor shall hence return the original title deeds to the award holder by 17th October, 2023.

The other prayer is for appointment of Special officer for preparing accounts of profits and losses of two cement manufacturing units belonging to the award debtor at Gulbarga and Karimnagar in the state of Karnataka and Telangana respectively. The particulars may be found in paragraph 39 iii and iv of the execution petition.

After considering the submissions made on behalf of the parties, this Court is of the view that allowing the prayer for return of the original title deeds will not have any bearing on the hearing of the Section 34 application.

Ms. Anima Das Chakraborty, Advocate (Mob No. - 9830035587) and Ms. Mohuya Dutta Biswas, Advocate (Mob No. - 9733635187) are appointed Special officers for the 2 units. The Special Officers shall 3 make accounts of the sale proceeds from the factories of these two units mentioned in paragraph 39 iii and iv of the affidavit in support of the tabular statement and file reports on the returnable date. The award debtor will make available all materials to the Special Officers for due implementation of this order. The prayer for depositing the profits in a separate account will be considered on the returnable date.

The remuneration of the Special Officers fixed at Rs. 70,000/- individually will be borne by the award holder along with travelling, accommodation and other expenses.

The award debtor is also restrained from creating any third party interest on its assets to the extent of the awarded amount which comes to Rs.129.41 crores.

The maintainability point shall be kept open.

List this matter on 30th November, 2023.

(MOUSHUMI BHATTACHARYA, J.) mg