M/S. Sta-Cc (Jv) And Anr vs Eastern Coalfields Limited And ...
2023 Latest Caselaw 4895 Cal

09.08.2023
Item No.4
gd/ssd
                                MAT/998/2023
                        IA NO: CAN/1/2023, CAN/2/2023
                          M/S. STA-CC (JV) AND ANR.
                                     VS
                    EASTERN COALFIELDS LIMITED AND ORS.


                    Mr. Kishore Datta,
                    Mr. Debajyoti Basu,
                    Mr. Subhojit Seal,
                    Mr. Diptomoy Talukdar,
                    Mr. Dibyendu Ghosh
                                ..for the Appellants.

                    Mr. Debnath Ghosh,
                    Syed Nurul Arefin,
                    Syed Moyeenul Arefin
                                ..for the Respondents.

1. We have elaborately heard the submissions

of the learned advocate for the appellants as well as the

learned advocate for the respondents.

2. By order dated 03.07.2023 we had granted

interim order restraining the respondents from

encashing the bank guarantee in question which has

been furnished by the appellants.

3. After hearing the learned advocates for the

parties today, we are of the, prima facie, view that the

writ petition itself was not maintainable, more

particularly when the terms and conditions of the

agreement contained in an arbitration clause.

4. Therefore, we are of the view that for

statistical purposes the appeal can be admitted, but,

however, the interim order cannot be continued beyond

the period of 30 days from the date of receipt of the

server copy of this order, only with a view to facilitate

the appellants to invoke the arbitration clause in the

agreement, if they chose to do so. In the event the

appellants invoke the arbitration clause and seeks for

appropriate remedy under the provisions of Arbitration

and Conciliation Act, 1996, then such proceedings

shall be proceeded with uninfluenced by any

observation made by the learned Single Bench in the

impugned judgment and order.

5. The learned senior advocate for the

appellants submitted that after the writ petition was

disposed of, now the respondents have taken action

and passed an order on 26.06.2023 by which there is

decision taken to cancel the contract awarded to the

appellants, recover damages and debar the appellants

as well as their constituent partners for a period of

three years from participating in further tenders.

6. The communication dated 26.06.2023 is

admittedly much after the writ petition was filed and

much after the impugned order and judgment which

was delivered on 15.05.2023. Therefore, in this appeal

the court cannot make any observation as regards the

correctness of the said decision.

7. However, it will be well open to the

appellants to invoke the arbitration clause against such

a decision, if they are so advised.

8. Accordingly, CAN 1 of 2023 and CAN 2 of

2023 stand dismissed.

9. Liberty to mention.

(T. S. SIVAGNANAM) CHIEF JUSTICE

(HIRANMAY BHATTACHARYYA, J.)