Ratchet Laboratories Ltd. & Ors. v. Intec Capital Ltd.

Delhi High Court · 09 Aug 2016 · 2016:DHC:5658
Manmohan Singh
OMP (Comm.) No.339/2016
2016:DHC:5658
civil appeal_dismissed

AI Summary

The Delhi High Court dismissed the petition to set aside an ex parte arbitration award for unpaid loan, affirming the binding nature of such awards under Section 34 of the Arbitration and Conciliation Act, 1996.

Full Text
Translation output
OMP (Comm.) No.339/2016 HIGH COURT OF DELHI
Order delivered on: 9th August, 2016
O.M.P. (COMM) 339/2016
RATCHET LABORATORIES LTD. & ORS ..... Petitioners
Through Mr.Praveen Mahajan, Adv.
VERSUS
INTEC CAPITAL LTD. ..... Respondent
Through Mr.K.Datta, Adv. with Mr.Ashish Verma, Adv.
CORAM:
HON'BLE MR.JUSTICE MANMOHAN SINGH MANMOHAN SINGH, J. (ORAL)
I.A. No.8721/2016 (exemption)
Exemption allowed, subject to just exceptions.
The application is disposed of.
O.M.P. (COMM.) No.339/2016, I.A. No.8722/2016 (for calling original arbitral record) and I.A. No.8723/2016 (for condonation of delay in re-filing the petition)
JUDGMENT

1. The petitioners have filed the present petition under Section 34 of the Arbitration and Conciliation Act, 1996 for setting aside the exparte arbitration award dated 26th February, 2016.

2. I have heard the learned counsel for the petitioners.

3. Counsel for the petitioners has not denied the fact that the loan was sanctioned to the petitioners who had signed all the requisite documents. The petitioners No.2 and 3 are husband and wife and were also the Directors of petitioner No.1-Company at the time of obtaining the loan. They are also the guarantors. The loan 2016:DHC:5658 OMP (Comm.) No.339/2016 amount was not paid by them as per the details mentioned in the impugned award.

4. The suggestion was made to the counsel for the petitioners that let the petitioners clear the outstanding amount and reasonable simple interest in instalments, however no positive response or any commitment to pay the award amount is given.

5. On merit, the petitioners have no case. Thus, the objections are dismissed. Pending applications also stand disposed of.

6. No costs.

JUDGE AUGUST 09, 2016