WELSPUN ENTERPRISES LIMITED Vs. RAVI INFRABUILD PROJECTS PVT. LTD

JUDGEMENT

(1.) This appeal is filed by the appellant challenging the validity of the order dtd. 1/4/2022 passed by learned Commercial Court, Udaipur (hereinafter to be referred as 'the trial court') in Case No.3/2022, whereby while registering an application filed on behalf of the respondent under Sec. 9 of the Arbitration and Conciliation Act, 1996 (hereinafter to be referred as 'the Act of 1996'), the trial court granted ad interim ex parte injunction prohibiting encashment of five bank guarantees, furnished by the respondent No.1, in favour of the appellant. The trial court also issued summons to the respondent No.2 and fixed next date i.e. 11/4/2022.

(2.) Brief facts, necessary for adjudication of the present appeal, are that the appellant is a company incorporated under the provisions of Companies Act, 1956 and involved in business of infrastructure development. A concession agreement was executed between National Highway Authority of India (for short 'the NHAI' hereinafter) and Mukarba Chowk Panipat Toll Roads Limited on 28/8/2015 for expanding the existing road from Mukarba Chowk, Delhi to Panipat, Haryana from six lanes to eight lanes. Subsequently, through an endorsement agreement dtd. 8/6/2020, NHAI substituted Welspun Infrafacility Private Limited in place of Mukarba Chowk Panipat Toll Roads Limited, thereby, endorsing the concession agreement in favour of Welspun Infrafacility Private Limited.

(3.) Pursuant to the said agreement, the Welspun Infrafacility Private Limited awarded engineering procurement and construction works to the appellant. The appellant, in order to facilitate timely execution of the project, appointed respondent No.1 as subcontractor on 4/6/2020. In addition to the said project, the appellant was also awarded several contracts for improvement of roads in Amravati and Maharashtra and the appellant-company entered into various contracts with the respondent No.1 for procurement of materials and equipments and all other works and things necessary for completion of construction works. The said contracts were entered into between the appellant and respondent No.1 on 25/1/2019, 7/9/2019 and 5/8/2020.