Delhi High Court - Orders
Welspun Enterprises Ltd vs Kasthuri Infra Projects Pvt Ltd on 19 April, 2023
Author: Chandra Dhari Singh
Bench: Chandra Dhari Singh
$~30
* IN THE HIGH COURT OF DELHI AT NEW DELHI
+ O.M.P.(I) (COMM.) 124/2023
WELSPUN ENTERPRISES LTD ..... Petitioner
Through: Mr. Dayan Krishnan, Sr. Advocate
with Mr. Aman Raj Gandhi, Mr.
Parthasarthy Bose, Ms. Soloni Kumar
and Ms. Panchi Agarwal, Advocates
versus
KASTHURI INFRA PROJECTS PVT LTD ..... Respondent
Through: Mr. Ramakrishnan Viraraghavan, Sr.
Advocate with Ms. Sunieta Ojha and
Ms. Hemlata Ranga, Advocates
CORAM:
HON'BLE MR. JUSTICE CHANDRA DHARI SINGH
ORDER
% 19.04.2023 I.A. 7299/2023 (Exemption) Subject to the petitioner filing the clear, original and legible/typed copies of any dim documents on which the petitioner may seek to place reliance, within four weeks from today, exemption is granted for the present.
The application is disposed of.
O.M.P.(I) (COMM.) 124/2023
1. The instant petition under Section 9 of the Arbitration and Conciliation Act, 1996 has been filed on behalf of the petitioner seeking the Signature Not Verified Digitally Signed By:GAURAV SHARMA Signing Date:20.04.2023 19:03:15 following reliefs:
"a) direct the Respondent to forthwith disclose details of the monies payable by the Respondent to its sub-contractors/ vendors/ suppliers/labour/staff/agents/employees etc. engaged in the Project Work on an Affidavit before this Hon'ble Court and make payment of the same;
b) direct the Respondent to forthwith disclose details of all its immovable and movable properties/assets, including but not limited to its bank accounts, on an Affidavit before this Hon'ble Court;
c) pass an order of injunction restraining the Respondent, through itself or its employees, servants, agents, representatives, assigns, affiliates or associates, from in any manner withdrawing and/or relocating and/or displacing any plants, equipment, machineries from the Project site, without the consent of the Petitioner;
d) pass an order of injunction restraining the Respondent, through itself or its employees, servants, agents, representatives, assigns, affiliates or associates, from obstructing the Petitioner in completing the Project in any manner, with the pending / unfinished work in respect of the Construction Contract to be carried upon by the Petitioner either by itself and/or with the aid of any third party(s);
e) direct attachment of all movable and immovable properties / assets of the Respondent, including but not limited to its Bank Accounts as disclosed in terms of prayer clause (a) above;
f) alternatively, direct the Respondent to deposit with this Hon'ble Court, the entire outstanding amount of Rs.159,60,93,448 or to furnish a bank guarantee or other liquid security as this Hon'ble Court may deem fit and reasonable to secure the entire outstanding amount payable by the Respondent in respect of the Construction Contract, including damages in the sum of Rs.88,65,11,024;
g) grant ad-interim ex-parte reliefs in terms of the above- mentioned prayers;
h) award costs in favor of the Petitioner and against the Respondent; and
i) pass such other I further order(s)/direction(s) as this Hon'ble Signature Not Verified Digitally Signed By:GAURAV SHARMA Signing Date:20.04.2023 19:03:15 Court may deem fit in the interest of justice, equity and fair play."
2. Learned counsel appearing on behalf of the petitioner submitted that petitioner is a company incorporated under the Companies Act, 1953 having its registered office at Welspun City, Village Versamedi, Taluka Anjar, Kutch, Gujarat - 370110. The petitioner is engaged in the business of infrastructure. The petitioner develops and operates PPP projects in various sectors like roads, water, and urban infrastructure. It is submitted that the respondent is a private limited company incorporated under the Companies Act, 1953 having its registered office no. 25, SSPDL, Alpha City, Nabalur Chennai-600130.
3. It is submitted that the dispute in the instant matter has arisen out of a Construction, Procurement of Materials and Equipment Contract ("Construction Contract") dated 6th August, 2021 executed by and between the parties hereto, whereby inter alia, the respondent was tasked with the completion of Works on a certain section of "Four laning of Sattanathapuram to Nagapattinam (Design Ch Km 123+800 to Km 179+555) section of NH-45A (New NH - 332) in the State of Tamil Nadu under NHDP Phase - IV on Hybrid Annuity Mode on design, build, operate and transfer basis.
4. It is submitted that the respondent has committed several defaults constituting 'material breach' under the construction contract and is liable to pay damages to the petitioner while also indemnifying it against potential losses. It is submitted that the reasons and circumstances resulting in the delay mentioned by the respondent did not constitute a force majeure event under the construction contract and the delay was entirely attributable to the Signature Not Verified Digitally Signed By:GAURAV SHARMA Signing Date:20.04.2023 19:03:15 respondent. Therefore, it is prayed that the respondent must be injuncted from obstructing and/or hindering the petitioner's usage of the equipment, plant and machineries available on the site and directed to settle all outstanding dues of all workers, labour, staff, suppliers, sub-contractors, vendors. etc. and thereafter terminate all sub-contracts entered by the respondent and any other contracts in relation to project works.
5. Issue notice. Ms. Sunieta Ojha, learned counsel appearing on behalf of the respondent accepted notice.
6. Learned senior counsel appearing on behalf of the respondent vehemently opposed the instant petition and prayed for one week's time to file reply/objection. Let the same be filed within one week as prayed. Rejoinder thereto, if any, be filed within three days thereafter.
7. List on 8th May, 2023.
8. It is directed that the equipment(s) at the site shall not be removed by any party till the next date of hearing.
CHANDRA DHARI SINGH, J APRIL 19, 2023 gs/as Click here to check corrigendum, if any Signature Not Verified Digitally Signed By:GAURAV SHARMA Signing Date:20.04.2023 19:03:15