Delhi High Court - Orders
Bainbridge Navigation Pte Ltd vs Rashtriya Ispat Nigam Ltd And Ors on 10 July, 2024
Author: Prateek Jalan
Bench: Prateek Jalan
$~35 & 36
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ O.M.P.(I) (COMM.) 158/2024 (disposed of)
BAINBRIDGE NAVIGATION PTE LTD .....Petitioner
Through: Mr. Balaji Harish Iyer, Mr.
Utkarsh Joshi, Ms. Isha Sawant,
Ms. Anjali Menon and Mr. Ashwin
Shanker, Advocates.
versus
RASHTRIYA ISPAT NIGAM LTD AND ORS .....Respondents
Through: Mr. Ankit Chaturvedi, Advocate.
+ O.M.P.(I) (COMM.) 159/2024 (disposed of)
BAINBRIDGE NAVIGATION PTE LTD .....Petitioner
Through: Mr. Balaji Harish Iyer, Mr.
Utkarsh Joshi, Ms. Isha Sawant,
Ms. Anjali Menon and Mr. Ashwin
Shanker, Advocates.
versus
RASHTRIYA ISPAT NIGAM LTD AND ORS .....Respondents
Through: Mr. Ankit Chaturvedi, Advocate
with Mr. Vinod Polumati, Deputy
Gen. Manager of R-1.
CORAM:
HON'BLE MR. JUSTICE PRATEEK JALAN
ORDER
% 10.07.2024 I.A. 32859/2024 in O.M.P.(I) (COMM.) 158/2024 & I.A. 32858/2024 in O.M.P.(I) (COMM.) 159/2024 (for revival) O.M.P.(I) (COMM.) 158/2024 & O.M.P.(I) (COMM.) 159/2024 Page 1 of 4 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 12/07/2024 at 01:02:26
1. The petitioner filed two petitions under Section 9 of the Arbitration and Conciliation Act, 1996 ["the Act"] seeking interim measures of protection in anticipation of arbitration proceedings under two Charter Party Agreements ["CPAs"] - one dated 25.09.2023 and the other dated 25.10.2023.
2. Under the CPAs, vessels owned by the petitioner were chartered by respondent No.1 - Rashtriya Ispat Nigam Ltd. for carriage of coal. The petitioner submits that its invoices under the CPAs were not paid by respondent No.1.
3. On the very first date of hearing, i.e. 20.05.2024, the petitions were disposed of with the following order:
"1. The petitioner has filed these petitions for interim measures of protection in anticipation of arbitration proceedings between the petitioner and respondent No. 1 under two Charter Party Agreements ["CPA"]. The CPA in O.M.P.(I) (COMM.) 158/2024 is dated 25.10.2023 and the CPA in O.M.P.(I) (COMM.) 159/2024 is dated 25.09.2023.
2. The petitioner claims that its final freight invoice raised in these cases - dated 23.11.2023 and 19.12.2023 - remain outstanding. The petitioner therefore seeks attachment of quantities of cargo of coking coal and limestone lying at the Adani Gangavaram Port Limited (respondent No. 2) and at Visakhapatnam Port (respondent No. 3).
3. At the very outset, learned counsel, appears on behalf of respondent No. 1 on advance notice, and states that respondent No. 1 undertakes to the Court that it will make payment of the outstanding invoices of the petitioner within four weeks from today. The invoice dated 23.11.2023 in O.M.P.(I) (COMM.) 158/2024 is for the amount of USD106,504.12 and in O.M.P.(I) (COMM.) 159/2024 is for the sum of USD588,862.28.
4. Respondent No. 1 is bound down to this undertaking. Respondent No. 1 is directed to file affidavits of undertaking within one week to the aforesaid effect, signed by an officer not below the rank of a whole time Director.
5. It is made clear that it is on the strength of this undertaking, that the petitioner does not press the interim relief sought.
O.M.P.(I) (COMM.) 158/2024 & O.M.P.(I) (COMM.) 159/2024 Page 2 of 4This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 12/07/2024 at 01:02:26
6. The petitions are disposed with these directions, with liberty to the petitioner to apply for revival of the petitions, in the event the undertakings are not filed as directed today or the amounts are not paid in terms of the said undertakings."
4. The petitioner has now filed I.A. 32859/2024 & I.A. 32858/2024 for revival of the petitions, on the ground that neither the undertakings were filed in terms of the order dated 20.05.2024, nor has any amount been paid.
5. Respondent No.1 is represented by Mr. Ankit Chaturvedi, learned counsel. He is instructed by Mr. Vinod Polumati, Deputy General Manager, who appears on video conference. They admit that the undertaking was not filed in terms of the order dated 20.05.2024, and the amount has also not been paid.
6. As the order dated 20.05.2024 has admittedly not been complied with, the applications are allowed and the petitions are restored to their original number.
O.M.P.(I) (COMM.) 158/2024 & O.M.P.(I) (COMM.) 159/2024
1. Mr. Ankit Chaturvedi, learned counsel for respondent No. 1, instructed by Mr. Vinod Polumati, Deputy General Manager of respondent No. 1 - Company, states that the order dated 20.05.2024 has not been complied with due to a financial crunch and a strike at Adani Gangavaram Port.
2. It appears that respondent No.1 has at the very least, made a reckless statement to the Court on 20.05.2024. The fact that even the undertaking required to be filed within one week was not filed gives the impression that an attempt was made to avoid adverse orders by giving an O.M.P.(I) (COMM.) 158/2024 & O.M.P.(I) (COMM.) 159/2024 Page 3 of 4 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 12/07/2024 at 01:02:27 undertaking which respondent No.1 never intended to honour.
3. Respondent No.1 is directed to file an affidavit within one week from today, through an officer not below the rank of a whole time Director, as to why proceedings under the Contempt of Courts Act, 1971, not be initiated against respondent No.1 and its officers.
4. In view of the plea of respondent No.1 regarding its financial circumstances, it will also place on record whether it has any goods lying at the Vishakhapatnam Port or Adani Gangavaram Port, or any other assets which can be offered as security for the claims of the petitioner.
5. Mr. Chaturvedi will also take instructions as to whether respondent No.1 is agreeable to a reference to arbitration in these proceedings itself, so that the petitioner's claims can be finally adjudicated expeditiously.
6. List on 29.07.2024.
PRATEEK JALAN, J JULY 10, 2024 SS/ O.M.P.(I) (COMM.) 158/2024 & O.M.P.(I) (COMM.) 159/2024 Page 4 of 4 This is a digitally signed order.
The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 12/07/2024 at 01:02:27