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Rajasthan High Court - Jaipur

Bharat Sanchar Nigam Limited vs Micro And Small Enterprises ... on 5 January, 2021

Author: Ashok Kumar Gaur

Bench: Ashok Kumar Gaur

        HIGH COURT OF JUDICATURE FOR RAJASTHAN
                    BENCH AT JAIPUR

              S.B. Civil Writ Petition No. 13067/2020

Bharat Sanchar Nigam Limited, Agm CPC-I, MTC, BSNL, First
Floor, D Wing, Bsnl Administrative Building, Juhu Tara Road,
Santacruz, Mumbai 400054, Through Authorized Signatory.
                                                                   ----Petitioner
                                   Versus
1.      Micro And Small Enterprises Facilitation Council, Jaipur
        (Third), Through Commissioner Industries And Special
        Secretary, Corporate Social Responsibility (Csr), Udyog
        Bhawan, Tilak Marg, Jaipur-302005
2.      Purma Plast Pvt. Ltd., B-494, Riico Industrial Area, Phase-
        I, Bhiwadi, Alwar.
                                                                ----Respondents

For Petitioner(s) : Mr. Kapil Sharma, Adv. For Respondent(s) : Mr. Shashank Agarwal, Adv.

(Through Video Conferencing) HON'BLE MR. JUSTICE ASHOK KUMAR GAUR Order 05/01/2021 Heard on the stay application.

Learned counsel for the petitioner submitted that the impugned award dated 27.01.2020 has been passed as an arbitral award and no arbitration proceedings were started.

Learned counsel further submitted that the Conciliator cannot act as an Arbitrator and it would amount to violating the provisions of Section 80(a) of the Arbitration and Conciliation Act, 1996.

Learned counsel further submitted that the due process of law was not followed while passing the award and the conciliation (Downloaded on 06/01/2021 at 09:04:44 PM) (2 of 3) [CW-13067/2020] proceedings were never concluded and as such, the impugned award needs to be stayed by this Court.

Learned counsel also refers to an interim order passed by Coordinate Bench of this Court in SB Civil Writ Petition No. 2492/2020-Dcm Ltd. (Unit Dcm Engineering Products) vs. Rajasthan Micro And Small Enterprises Facilitation Council, dated 12.02.2020.

Mr. Shashank Agarwal, learned counsel appearing for the respondent No. 2 submitted that this writ petition filed by the petitioner is not maintainable.

Learned counsel submitted that under Section 18 of the Micro, Small and Medium Enterprises Development Act, 2006, the petitioner has a statutory alternative remedy of filing appeal under Section 34 under the Arbitration and Conciliation Act, 1996.

Learned counsel further submitted that the impugned award clearly reveals that the petitioner had not participated in the conciliation proceedings and when notice was served upon them for appearing on a particular date, the petitioner choose not to appear and as such, the conciliation proceedings were rightly terminated and the Facilitation Council has rightly passed the award.

The matter requires consideration.

Let services be effected on the respondent No. 1 by filing fresh notices.

This case may be listed on 04.02.2021. In the meanwhile, if the petitioner deposits the principal amount of Rs.2,23,15,609/- along with simple interest @ 9% within period of two weeks before the Delhi High Court as has been directed by the Delhi High Court in execution proceedings (Downloaded on 06/01/2021 at 09:04:44 PM) (3 of 3) [CW-13067/2020] filed by the respondent No. 2, the effect and operation of the order dated 27.01.2020 shall remain stayed.

(ASHOK KUMAR GAUR),J Ramesh Vaishnav/86/Parul 60 (Downloaded on 06/01/2021 at 09:04:44 PM) Powered by TCPDF (www.tcpdf.org)