THE HONOURABLE SRI JUSTICE A.V.SESHA SAI
AND
THE HONOURABLE SRI JUSTICE B.KRISHNA MOHAN
CIVIL REVISION PETITION No.1016 of 2020
ORDER:- (Per Hon’ble Sri Justice A.V.Sesha Sai)
Heard Sri P.V.S.A.Rama Murthy, learned counsel for the petitioner.
2. It is submitted by the learned counsel for the petitioner that
in pursuance of the orders of this court directing to take out personal
notice to the respondent, he had taken out the notice and filed proof of
service of the same in the Registry, vide USR No.30150 of 2020. In
support of the proof of service, a track report issued by the Department
of Posts showing the delivery of the item on 14.09.2020, is also filed by
the learned counsel for the petitioner in the Registry. Despite service of
the notice there is no appearance on behalf of the respondent.
3. The present Revision, instituted under Article 227 of the
Constitution of India, challenges the online order passed by the Court of
the Principal District Judge, Ananthapur, dated 31.08.2020 in e filing
No.CMA.69126 of 2020. The respondent herein filed Arbitration
Application No.5 of 2020 for arbitration of the dispute pertaining to nonpayment of loan instalments. Along with the said Arbitration
Application, the respondent herein also filed I.A.No.136 of 2020 under
Section 17 of the Arbitration and Conciliation Act, 1996, praying for
attachment of the immovable properties mentioned in the said
application. The learned Sole Arbitrator (Arbitral Tribunal), vide order
dated 03.08.2020, granted conditional attachment of the immovable
2
property under Section 17 of the Arbitration and Conciliation Act, 1996
and the said order reads as follows :
“In view of above facts, in exercise of the powers conferred
on me under Section 17 of Arbitration and Conciliation Act,
1996 do hereby order for the Conditional Attachment of
Immovable Property belonging to the Respondent as
mentioned under the schedule here under:
Further the Respondent is hereby informed that if he
desires to have this attachment raised, and that the
respondent shall furnish cash security to the extent of the
claim amount of Rs.27,53,900/- by depositing the amount to
the claimant and producing the original challan / receipt
issued thereon to this Tribunal i.e., Sri M.Satyanarayana
Swamy, Arbitrator, Special Judicial Magistrate (Retd.),
H.No.5/178, Gowrav Residency, Alamur Road, Rudrampet,
Ananthapuram – 515004 on or before 05.09.2020 at 11.00
a.m. without fail for raising the attachment, if he fails to do
so within the stipulated period, this conditional attachment
shall be deemed to have been confirmed and made absolute
for the entire claim amount”.
4. Aggrieved by the said order passed by the Sole Arbitrator on
03.08.2020, the petitioner herein preferred a Civil Miscellaneous Appeal
before the Court of the Principal District and Sessions Judge,
Ananthapuram under Order XLIII Rule 1 of the Code of Civil Procedure,
1908 vide e filing case No.AP 2/CMA/69126/28.08.2020. The office of
the said Court rejected the said appeal and called upon as to how the
said case would be maintainable under Order XLIII Rule 1 of Code of
Civil Procedure, 1908.
5. According to the learned counsel for the petitioner, the
Memorandum of Appeal in the aforesaid C.M.A. was represented on
31.08.2020 by mentioning the correct provision of law i.e., Section 37 of
3
the Arbitration and Conciliation Act, 1996. The Court of the Principal
District and Sessions Judge, after the said re-submission of the appeal
by the petitioner, vide the impugned online order dated 31.08.2020,
made an endorsement that the case “already rejected”. In the above
back ground, the petitioner herein is before this Court with the present
revision under Article 227 of the Constitution of India.
6. The contention of the learned counsel for the petitioner, Sri
P.V.S.A.Rama Murthy, is two fold in this regard. Firstly, he contends
that simply because a wrong provision of law is quoted in the
Memorandum of Grounds of the C.M.A., appeal ought not to have been
rejected by the Court of the Principal District and Sessions Judge when
there is a provision under the Arbitration and Conciliation Act, 1996.
Secondly, it is strenuously contended by the learned counsel that under
Section 37 of the Arbitration and Conciliation Act, 1996, an appeal lies to
a Court authorized by law to hear appeals from original decrees of the
Court passing the order, against an order of Arbitral Tribunal either
granting or refusing to grant a relief under Section 17 of the Act, 1996.
7. In this context, it would be appropriate to refer to the
provisions of Section 37 of the Arbitration and Conciliation Act 1996.
(1) An appeal shall lie from the following orders (and from no others) to the
Court authorised by law to hear appeals from original decrees of the Court
passing the order, namely:—
(a) granting or refusing to grant any measure under section 9;
(b) setting aside or refusing to set aside an arbitral award under section 34.
(2) An appeal shall also lie to a Court from an order granting of the arbitral
tribunal.—
(a) accepting the plea referred in sub-section (2) or sub-section (3) of section
16; or
(b) granting or refusing to grant an interim measure under section 17.
(3) No second appeal shall lie from an order passed in appeal under this
section, but nothing in this section shall affect or take away any right to appeal
to the Supreme Court.
4
Admittedly, in the present case on hand, the petitioner herein filed
Civil Miscellaneous Appeal before the court of the Principal District and
Sessions Judge, Ananthapuram against an order granted as an interim
measure under Section 17 of the Act 1996. Therefore, rejection of the
appeal filed by the petitioner herein by virtue of the impugned order (e
filing order) dated 31.08.2020, in the considered opinion of this court,
cannot be sustained.
8. Accordingly the Civil Revision Petition is allowed, setting
aside the impugned online order dated 31.08.2020, rejecting the appeal
filed by the petitioner and the petitioner is granted two weeks’ time to represent the appeal before the Court of the learned Principal District and
Sessions Judge, Ananthapuram for consideration of the same by the
learned Principal District and Sessions Judge on merits. It is open for
the petitioner herein to file an appropriate application seeking
Interlocutory Order. The petitioner herein shall also comply with all
other requirements as per law. It is made clear that for a period of four
weeks from today, there shall be stay of further proceedings in
Arbitration Application No.5 of 2020 before the Sole Arbitrator (Arbitral
Tribunal). There shall be no order as to costs of the C.M.A.
Miscellaneous Applications pending, if any, in the C.M.A. shall
stand closed.
_________________________
JUSTICE A.V.SESHA SAI
_________________________________
JUSTICE B.KRISHNA MOHAN
Date : 16.10.2020
Issue C.C.by 20.10.2020
b/o.
sj
5
101
THE HONOURABLE SRI JUSTICE A.V.SESHA SAI
AND
THE HONOURABLE SRI JUSTICE B.KRISHNA MOHAN
CIVIL REVISION PETITION No.1016 of 2020
Date : 16.10.2020
SJ
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