UNION OF INDIA Vs. RAHEE INDUSTRIES LTD
LAWS(CAL)-2010-6-119
HIGH COURT OF CALCUTTA
Decided on June 16,2010

UNION OF INDIA Appellant
VERSUS
RAHEE INDUSTRIES LTD. Respondents

JUDGEMENT

- (1.) THE issue involved and the relevant facts are almost identical and the two matters have been taken up together.
(2.) THE question that arises in both matters is as to whether the petition under section 34 of the Arbitration and Conciliation Act, 1996 in either case has been filed within the time permitted by the statute. Section 34 permits an award to be challenged within a period of three months from the date of receipt thereof or, upon furnishing sufficient explanation, within an extended period of thirty days thereafter. THE 1996 Act, it is not in dispute, is a special Act and section 34 confers a right to a party to a reference subject to the condition as to the time imposed therein. The award in either case was made on January 31, 2007. Copies of the award were received by the petitioner in either case on February 17, 2007. Though earlier proceedings relating to either reference had been carried to this Court under section 9 of the 1996. Act (a fact which is not in dispute), the petitioner chose to file the petitions under section 34 of the 1996 Act before the District Court at Vaishali (Hazipur). The petitions remained pending in Hazipur till September 20, 2008 when the Hazipur Court found that it lacked territorial jurisdiction to entertain the petitions and it also noticed section 42 of the 1996 Act that precluded a party to a reference to carry subsequent proceedings under Part-I of the 1996 Act to any Court other than where the previous proceedings had been lodged.
(3.) THE respondent says that from the service copies of the petitions forwarded to it, it appears that the notice of motion in either case was taken out on March 12, 2010 in connection with the petitions under section 34 of the 1996 Act. THE petitioner, however, submits that the notices of motion were taken out another 24 days later and not on March 12, 2010. The respondent has set out the relevant dates in the affidavit - in - opposition filed in either case. On the basis of the admitted facts, it would appear that the awards were made the subject-matter of the section 34 proceedings in the Hazipur Court about 71 days from the date of receipt thereof by the petitioner. The respondent suggests that even if the time spent in the Hazipur Court is discounted in view of section 14 of the Limitation Act, 1963, it would be evident that the petitions have been filed in this Court at least 536 days or 560 days after the Hazipur Court order was made on September 20, 2008.;


Click here to view full judgement.
Copyright © Regent Computronics Pvt.Ltd.