Calcutta High Court
Citicorp Finance [I] Ltd vs Bhagwandas Auto Finance Ltd. & Anr on 10 July, 2008
Author: Patherya
Bench: Patherya
AP No. 350 of 2008
IN THE HIGH COURT AT CALCUTTA
Ordinary Original Civil Jurisdiction
ORIGINAL SIDE
CITICORP FINANCE [I] LTD.
Versus
BHAGWANDAS AUTO FINANCE LTD. & ANR.
For Petitioner : MR. ANINDYA MITRA, SR. ADVOCATE WITH MR. A. MITRA, ADVOCATE.
BEFORE:
The Hon'ble JUSTICE PATHERYA
Date : 10th July, 2008.
The Court : Leave under Clause 12 of the Letters Patent is granted.
This is an application filed under Section 9 of the Arbitration and
Conciliation Act, 1996.
The case of the petitioner is that by agreement dated 28.3.2006 sums were
advanced for purchase of seven trucks to the respondents. The said sums were to
be repaid in 47 monthly instalments. Except for payment of Rs.54,66,489/- no further sums have been paid by the respondents to the petitioner. By letter dated 18.1.2006 the petitioner has terminated the agreement and called upon the respondents to deliver up possession of the said assets in question. In paragraph 24 of the petition the petitioner has given an undertaking to refer the disputes to arbitration. In spite of receipt of letter dated 18.1.2008 no step has been taken by the respondents to make payment or hand over possession of the said assets. Hence, the instant application has been filed for an order 2 of injunction and appointment of receiver as an interim measure. On receipt of letter dated 18.1.2008 payment of one instalment has been made by the respondents and credit given for such payment by the petitioner to the respondents.
No notice of this application has been served on the respondents as the petitioner apprehends that upon receipt of notice steps will be taken to alienate and/or encumber the said assets in question.
Having considered the facts of the case, there will be an order of injunction restraining the respondents from dealing with, disposing of and/or alienating and/or creating third party interest in respect of the assets in question till 18.7.2008.
In view of the cheques issued being dishonoured on the ground of exceeding arrangement the respondents are directed not to realise sums from its customers, Maruti Udyog Ltd., Palam Gurgaon Road, Gurgaon - 122015 and Tata Motors Ltd., Pimpari, Chikhali, Pune - 4111018, Chinchwad, Pune-411033 without leaving a sum of Rs.60 lacs which is due and payable on date by the respondent to the petitioner.
Matter is made returnable on 15.7.2008.
The petitioner is directed to serve a copy of this petition along with the order passed today on the respondents.
The respondents will be at liberty to seek variation and/or modification of the order upon notice to the petitioner.
All parties concerned to act on a signed xerox copy of this order on the usual undertakings.
(PATHERYA, J.) pkd.
RO[ct] 3