ASHIS KUMAR CHAKRABORTY,J. - (1.) The Court :- In view of the exigency of the matter due to the fact that the three bank guarantees furnished by the petitioner, Bridge & Roof Company (India) Limited to the respondent is going to expire, the General Manager (Human Resource & Legal Affairs) of the petitioner is allowed to make submission before this Court. Let the No-Objection certificate issued by the Advocate-on-Record of the petitioner be kept on record.
(2.) From the documents produced on behalf of the petitioner company, it appears that out of the three bank guarantees, State Bank of India is ready to furnish two fresh bank guarantees for Rs. 13,16,762.00 and Rs. 39,50,285, respectively in favour of the respondent. So far as the third bank guarantee for Rs. 44, 02,864 furnished by State Bank of India in favour of the respondent is concerned, the same also remains valid till February 28, 2018. State Bank of India has sought for modification of one of the clauses of the third bank guarantee relating to the right of the respondent for obtaining extension of the bank guarantee and the same has been communicated to the respondent. By a letter dated February 12, 2018, the General Manager of the respondent informed the Chief General Manager(Mech) East and Works of the petitioner company that in order to obtain issuance of fresh bank guarantees as per bank's revised conditions for extension beyond ten years, the petitioner should approach this Court for obtaining necessary direction. Let all the correspondence exchanged between the parties, as produced by the General Manager (Human Resource & Legal Affairs) of the petitioner be kept on record.
(3.) Having considered the fact that in an application under Section 34 of the Arbitration and Conciliation Act , 1996 the present petitioner is required to keep all the relevant three bank guarantees alive till the disposal of the said application, I am of the view that the petitioner should be allowed to furnish fresh bank guarantees to the respondent for substituting the existing bank guarantees which are valid till February 28, 2017. Accordingly, the petitioner is directed to forthwith substitute the two bank guarantees bearing nos. 0750203BG0000057, 0750203BG000077 dated 05.05.2003 and 16.08.2003 by issuance of two fresh bank guarantees for Rs. 13,16,762 and Rs. 39,50,285, respectively by State Bank of India in favour of the respondent. So far as the third bank guarantee bearing no. 0750203BG000075 dated 08.08.2003 is concerned, the petitioner shall substitute the same by issuing a fresh bank guarantee of the same amount through State Bank of India with the modification as insisted by the bank. Needless to mention that all the fresh bank guarantees shall be kept valid in terms of the order dated June 21, 2013 passed in A.P. No. 550 of 2013 as modified by the order dated September 09, 2015 passed in AP No. 1450 of 2015, AP No. 1451 of 2015, AP No. 1452 of 2015, AP No. 1453 of 2015, AP No. 1454 of 2015, AP No. 1455 of 2015, AP No. 1456 of 2015, AP No. 1457 of 2015, AP No. 1458 of 2015, AP No. 1459 of 2015 and AP No. 1460 of 2015. The respondent shall not invoke any of the existing bank guarantees furnished by the petitioner till February 26, 2018.;