initiate arbitration proceedings or other recovery proceedings to secure their financial interest commence only from the date on which the respondents failed to honour their payment commitment as per the agreement dated 01.08.2004. In this case, the respondents failed and neglected to pay the loan amount from the second instalment, which falls due on 01.10.2004, on which date, the cause of action commences for the appellant to take action against the respondents for the default committed by them in paying the loan amount. It is also not the case of the appellant that after committing default from the second instalment, the respondents had subsequently paid any amount towards the loan amount. Therefore, the period of limitation for the purpose of taking any action against the respondents for the default committed by them commences from 01.10.2004, on which date, the entire amount becomes due and hence, within three years therefrom, the appellant ought to have taken legal steps to recover the loan amount from the respondents. In this case, the appellant had invoked the arbitration clause contained under the agreement dated 01.08.2004 and made a reference to the arbitrator only on 28.06.2010. Therefore, the claim petition filed by the appellant before the learned Arbitrator is hopelessly barred by the Law of Limitation. In order to lend support to this conclusion, we are fortified by the decision of the Honourable Supreme Court, relied on by the learned counsel for the first respondent, in the case of (Sundaram Finance Limited v. Noorjahan Beevi and another) reported in (MANU/SC/0697/2016 : 2016) 5 ML J 535 (SC) wherein it was held as follows:-
