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National Collateral Management Services Private Limited, Gurgaon vs State of Jharkhand

Jharkhand High Court · Decided on 24 March 2021 · Citation: (2021) 03 JH CK 0222

HON’BLE JUDGES
Rajesh Shankar, J
CASE NUMBER
Writ Petition(C) No. 1059 of 2021

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Judgment

6 paragraphs · 361 words

The present case is taken up through video conferencing.

Mr. Indrajit Sinha, learned counsel for the petitioner, submits that though the petitioner has the efficacious remedy of preferring application under Section 34 of the Arbitration and Conciliation Act, 1996 for setting aside the award dated 29.10.2020 as contained in memo no. 100 dated 15.01.2021 (Annexure-11 to the writ petition) passed by the Under Secretary-cum-Member Secretary, Jharkhand Micro And Small Enterprises Facilitation Council (the respondent no. 3) in Case No. JHMSEFC-197/2019 (New Case No. JH/20/S/JKH/00145), including rectification/corrigendum of the award dated 29.10.2020 as contained in memo no. 458 dated 12.02.2021 (Annexure-12 to the writ petition), yet the petitioner has filed the present writ petition primarily for the reason that Jharkhand Micro And Small Enterprises Facilitation Council while passing the aforesaid award has ignored the mandate of Section 18 (2) of the Micro, Small and Medium Enterprises Development Act, 2006 where it has been specifically provided that on receipt of a reference under sub-section (1) of Section 18, the Council shall either itself conduct conciliation in the matter or seek the assistance of any institution or centre providing alternate dispute resolution services by making a reference to such an institution or centre, for conducting conciliation. Only after failure of the conciliation proceeding, the process of arbitration could have been initiated by the Council. The petitioner being the opposite party in Case No. JHMSEFC-197/2019 (New Case No. JH/20/S/JKH/00145) raised the said issue issue in its application filed on 07.09.2020 as would be evident from paragraph-4 of the same as well as another application filed on 29.10.2020.

Issue notice to the respondents in the present writ petition as well as in I.A. No. 1533 of 2021.

Mr. Indranil Bhaduri, learned S.C. -IV, appears and waives notice on behalf of the respondent nos. 1 to 3. He prays for and is allowed four weeks' time to seek instruction and file counter affidavit.

Issue notice to the respondent no. 4 through ordinary process for which requisites etc. must be filed by 7th April, 2021.

Issue with regard to maintainability of the writ petition is left open. Put up this case along with W.P.(C) No. 1058 of 2021.