Allowed

Indus Projects Limited v. Brahmaputra Cracker and Polymer Ltd.

Delhi HC23 Oct 2024ARB.P./466/2024

Case brief

AI extract

What is this about?

In this petition filed under Section 11(6) of the Arbitration and Conciliation Act, 1996, the petitioner sought appointment of an arbitrator following a dispute over outstanding cenvatable service tax dues from a construction contract. The respondent admitted the factual matrix and was agreeable to the appointment. The court appointed a retired Chief Justice as sole arbitrator through DIAC.

What did the court decide?

Appointment of Mr. Justice Ajay Kumar Mittal as Sole Arbitrator under the administrative aegis of DIAC.

Indus Projects Limited Vs Brahmaputra Cracker and Polymer Ltd. — Arbitration | Delhi HC (2024)

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$~3

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* IN THE HIGH COURT OF DELHI AT NEW DELHI

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ARB.P. 466/2024 INDUS PROJECTS LIMITED .....Petitioner Through: Mr. Udit Seth, Mr. Divyanshu, Advs.

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versus

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BRAHMAPUTRA CRACKER AND POLYMER LTD ...Respondent Through: Ms. Chaudhary, Adv. for Ms. Madhumita, Adv.

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CORAM:

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HON'BLE MR. JUSTICE JASMEET SINGH O R D E R

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% 23.10.2024

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This is petition filed under Section 11(6) of the Arbitration and Conciliation Act, 1996, seeking appointment of an Arbitrator.

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The brief facts are that the respondent floated a tender for construction of “Additional Butene-I Spheres for Brahmaputra Petrochemical Complex, Lepetaka, Assam.”

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The petitioner’s bid was successful and the petitioner was awarded Fax of Acceptance (FOA) dated 02.02.2013. 4. The petitioner on several occasions requested the respondent to release the payment/reimbursement of the petitioner’s invoices for outstanding amount/dues of Cenvatable service tax.

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The arbitration clause is clause 107 of GCC and reads as under:

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This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 04/11/2024 at 12:51:01

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Since they were not paid, the petitioner invoked arbitration vide legal notice dated 02.03.2023. Thereafter, the present petition has been filed.

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This is a digitally signed order.

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The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 04/11/2024 at 12:51:01

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Since the letter of invocation dated 02.03.2023 was not on record, Mr. Seth, learned counsel for the petitioner has handed over a copy of the same, which is taken on record.

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The respondents have filed a reply but the reply was not on record. A copy has been handed over in Court today, which is taken on record.

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Ms. Chaudhary, learned counsel for the respondent, on instructions, admits that all the defences raised in the reply are on factual matrix and in case all the contentions are kept open, she is agreeable to appointment of the Arbitrator.

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For the said reasons, the petition is allowed and the following directions are issued:-

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i) Mr. Justice Ajay Kumar Mittal, Chief Justice of High Court of Madhya Pradesh (Retd.) (Mob. No. 970008112) is appointed as a Sole Arbitrator to adjudicate the disputes between the parties.

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ii) The arbitration will be held under the aegis of the Delhi International Arbitration Centre, Delhi High Court, Sher Shah Road, New Delhi (hereinafter, referred to as the ‘DIAC’).

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iii) The remuneration of the learned Arbitrator shall be in terms of DIAC (Administrative Cost and Arbitrators’ Fees) Rules, 2018.

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iv) The learned Arbitrator is requested to furnish a declaration in terms of Section 12 of the Act prior to entering into the reference.

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v) It is made clear that all the rights and contentions of the parties, including as to the arbitrability of any of the claim, any

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other preliminary objection, as well as claims/counter-claims and merits of the dispute of either of the parties, are left open for adjudication by the learned arbitrator.

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vi) The parties shall approach the learned Arbitrator within two weeks from today.

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JASMEET SINGH, J

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OCTOBER 23, 2024 / (MS)/(SP)

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Click here to check corrigendum, if any

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This is a digitally signed order.

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The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 04/11/2024 at 12:51:01

Indus Projects Limited v. Brahmaputra Cracker and Polymer Ltd.

Case brief

What is this about?

What did the court decide?

Indus Projects Limited v. Brahmaputra Cracker and Polymer Ltd.

Case brief

What is this about?

What did the court decide?

What the court decided

A compact analysis

Issues for consideration

Statutes considered

Parties & counsel

Coram

Case details

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