Bombay High Court
National Spot Exchange Limited - ... vs Geofin Comtrade Ltd on 27 June, 2022
Author: Prithviraj K Chavan
Bench: G.S. Patel, Prithviraj K Chavan
55-IAL-18994-2022 IN COMAPL-18723-2022.DOC
Shephali
IN THE HIGH COURT OF JUDICATURE AT BOMBAY
ORDINARY ORIGINAL CIVIL JURISDICTION
IN ITS COMMERCIAL APPELLATE DIVISION
INTERIM APPLICATION (L) NO.18994 OF 2022
IN
COMMERCIAL APPEAL (L) NO. 18723 OF 2022
IN
SUMMONS FOR JUDGMENT NO. 65 OF 2015
IN
COMMERCIAL SUMMARY SUIT NO. 140 OF 2015
National Spot Exchange Limited ... Applicant
In the matter between
National Spot Exchange Limited ...Appellant
SHEPHALI
Versus
SANJAY
MORMARE Geofin Comtrade Limited ...Respondent
Digitally signed by
SHEPHALI
SANJAY
MORMARE
Date: 2022.06.29
11:06:09 +0530
Mr Ashish Kamat, with M Fernandes & Tarak Shah, i/b Vaish
Associates, for the Appellant.
Mr Chirag Shah, with Priya Ghosalkar-Rombade, i/b Deven
Dwarkadas & Partners, for the Respondent.
CORAM G.S. Patel &
Prithviraj K Chavan, JJ.
DATED: 27th June 2022
PC:-
Page 1 of 3
27th June 2022
55-IAL-18994-2022 IN COMAPL-18723-2022.DOC
1. The Appeal is directed against an Order dated 27th April 2022 made on a Summons for Judgment filed by the present Respondent to the Appeal (the Plaintiff in the Suit). The learned Single Judge made a conditional order requiring the National Spot Exchange Limited ("NSEL"), the Appellant, to deposit Rs.1,46,14,382/- within a period of eight weeks from the date of the impugned order.
2. In our considered view, arguable questions arise. It is unclear whether the suit is at all founded on a written contract within the meaning of Order XXXVII(2)(b)(i). The amount claimed by the Plaintiff does not appear to be an undisputed debt. This is because of the very nature of the claim which seeks a refund or repatriation of 'margin money' required to be placed by all commodities traders with the NSEL. The impugned order also does not take into account the fact that the NSEL itself is under supervisory orders of this Court that prevent it from making any payments without specific orders of the Court made on Reports filed periodically by a Special High Power Committee constituted under orders of this Court. This will surely a significant circumstance. It was placed before the learned Single Judge but does not seem to reflect in the reasoning in impugned order. There is also a possible misunderstanding on the part of the Plaintiff as to precise nature of the so-called margin- money deposit that its trading membership of the NSEL required. Since this exchange deals in futures, options and derivatives, the nature of the margin money in the pool is distinct from the more commonly understood 'margin money' in a regular stock exchange.
Page 2 of 327th June 2022 55-IAL-18994-2022 IN COMAPL-18723-2022.DOC
3. We do not propose to keep the Appeal pending indefinitely. The present sitting assignment is not a regular assignment. Had it been so, we would have taken up the Appeal immediately. It is only for that reason that we stand the Appeal over to 12th July 2022, to be listed high on board. Since we are listing the appeal at an early date, we will not today formally admit it. All are put to notice that we will decide the appeal, albeit at the admission stage, on the next date.
4. In the meantime, the operation of the impugned order is stayed. The delay in filing the Appeal is condoned.
(Prithviraj K Chavan, J) (G. S. Patel, J)
Page 3 of 3
27th June 2022