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Hdb Financial Services Ltd. vs S J Enterprise & Anr.

Calcutta High Court · Decided on 14 June 2018 · Citation: (2018) 06 CAL CK 0006

HON’BLE JUDGES
SOUMEN SEN, J
ACTS & SECTIONS REFERRED
Indian Evidence Act, 1872 — Section 114 · Arbitration and Conciliation Act, 1996 — Section 3
RESULT
Disposed Of
CASE NUMBER
EC 195 of 2018
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Judgment

19 paragraphs · 386 words

Mr.A.K.Usmani, learned Counsel appearing on behalf of the award holder has relied upon an unreported Division Bench judgment of this Court in GA

No. 922 of 2017, APOT No. 89 of 2017 and EC No. 1285 of 2015 (Magma Fincorp Limited Vs. Ashok Kumar & Ors.) dated 13th September, 2017,

where the Hon’ble Division Bench had considered the aspect of service of award upon the judgment debtor.

In deciding the said application, the Hon’ble Division Bench has referred to Clause 9(b) of the arbitration agreement between the parties in the

said proceeding, Section 114 of the Evidence Act, Section 3 of the Arbitration and Conciliation Act and Chapter VI of the Indian Post Office Act,

1898.

Similar clause as that of 9(b) that was considered by the Hon’ble Division Bench is present in the instant arbitration agreement. The records

reveal that the envelopes said to contain the award dated 13th May, 2017 was forwarded by the Arbitral Tribunal by a letter dated 13th May, 2017.

The envelope was addressed to the respondents at the addresses mentioned in the arbitration agreement and proper stamps were affixed thereon.

The Arbitrator has also paid postal charges by affixing prepaid adhesive postage stamps and the postal article duly put in by registered post in the

manner provided in Chapter VI of the Indian Post Office Act, 1898. Articles were dispatched on 18th May, 2017 by registered post with AD.

Under such circumstances, it shall be presumed that the award has been duly served upon the judgment debtors. In view of the Hon’ble Division

bench judgment and having regard to the factual position as discussed above, in my view, the award holder is able to demonstrate service of the award

upon the judgment debtors.

The award which is a deemed decree is put to execution. It is submitted that the award is not under challenge. The award has now become

enforceable. Under such circumstances, there shall be an order in terms of prayers (b) and (g). The affidavits shall be filed within three weeks from

the date of communication of this order.

In the affidavits of asset the judgment-debtors shall disclose the whereabouts of the asset in question, in default of filing of such affidavits, warrants of

arrest shall be issued against the judgment-debtors. The matter stands adjourned for six weeks.