Tata Motors Finance Limited v. Ncs Automotives Pvt. Ltd.
Case brief
What is this about?
Section 9 pre-arbitration interim measures; unopposed commercial arbitration petition; channel finance and SCF facilities to auto dealer; asset disclosure on oath; bank account, investment and income-tax-return disclosure; bank guarantee/surety of Rs.3,35,25,376.59 (about Rs.3.35 crore); injunction against alienation and third-party interests; 90-day window to commence arbitration; reliance on Tata Motors Finance Solutions Ltd. v. Krishna Autowheels Pvt. Ltd. (CAP No.298 of 2022, order dated 17 January 2023); Tata Motor Finance Ltd.; NCS Autocraft Pvt. Ltd.; Bombay High Court, Sandeep V. Marne, J.
What did the court decide?
Interim measures in terms of prayer clauses (a) to (d), except the bracketed portions of prayer clause (c): (i) respondent no.2 to disclose on oath all movable and immovable assets/properties of all respondents; (ii) disclosure on oath of all respondents' bank accounts with certified statements for the last three financial years, investments in shares/debentures/other investments, and income tax returns for the last three years; (iii) respondents to furnish a bank guarantee or other solemn surety to the tune of Rs.3,35,25,376.59 (bracketed alternative security of immovable property omitted); and (iv) injunction restraining the respondents and persons claiming through them from creating third party rights or selling, transferring or disposing of their movable and immovable assets - operative pending arbitration and till making of the final award, ceasing if arbitral proceedings are not commenced within 90 days.