ASHIS KUMAR CHAKRABORTY,J. - (1.) In this appeal under section 17 of the Arbitration and Conciliation Act, 1996, as amended by Act 3 of 2016 (in short, the 'Act of 1996') the present appellant has challenged the order dated May 15, 2018 passed by the learned sole Arbitrator in the arbitral proceeding rejecting its application under Section 17 of the Act of 1996.
(2.) Admittedly, by an agreement dated March 15, 2016 the appellant obtained a loan of Rs. 7 crore for acquiring a barge which remains hypothecated in favour of the respondent. The appellant made default in payment of its dues to the present respondent-financier under the said agreement dated March 15, 2016 which also contains an arbitration agreement. Therefore, the present respondent-financier filed an application, under Section 9 of the Act of 1996, against the appellant praying for, inter alia, appointment of a Receiver to take possession of the said barge. In the said application by an order dated January 24, 2018 this Court appointed a Receiver to take forthwith actual physical possession of the said barge bearing Registration No.WB 1484 lying at Haldia Port Complex.
(3.) As recorded in the said order dated January 24, 2018 as on that date, more than Rs. 1.88 crore remained due and owing by the present appellant as the principal amount and, as such, in exercise of its rights under the said agreement dated March 15, 2016, the present respondent, as the petitioner in the said application, was entitled to take possession of the said barge. In terms of the said order dated January 24, 2018 the Receiver appointed by this Court took possession of the said barge from the appellant. Thereafter, at the instance of the parties, by an order dated February 9, 2018 this Court referred the disputes between them for arbitration to the learned Arbitrator.;