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Kotak Mahindra Bank Limited vs Ashok Kumar Chaudhary Alias
2025 Latest Caselaw 1183 Cal/2

Citation : 2025 Latest Caselaw 1183 Cal/2
Judgement Date : 12 February, 2025

Calcutta High Court

Kotak Mahindra Bank Limited vs Ashok Kumar Chaudhary Alias on 12 February, 2025

Author: Soumen Sen
Bench: Soumen Sen
OCD-8

                            ORDER SHEET

                            AO-COM/6/2024
                                WITH
                             AP/741/2023

                  IN THE HIGH COURT AT CALCUTTA
                      Civil Appellate Jurisdiction
                            ORIGINAL SIDE
                       (COMMERCIAL DIVISION)


                  KOTAK MAHINDRA BANK LIMITED
                            VERSUS
                  ASHOK KUMAR CHAUDHARY ALIAS
           ASHOK KUMAR RAM SABADH CHAUDHURY AND ANR.


  BEFORE:
  The Hon'ble JUSTICE SOUMEN SEN
             AND
  The Hon'ble JUSTICE PARTHA SARATHI SEN
  Date : 12th February, 2025.

                                                                    Appearance:
                                                   Mr. Swatarup Banerjee, Adv.
                                                       Mr. Ritoban Sarkar, Adv.
                                                      Ms. Shrayashee Das, Adv.
                                                 Mr. Rohan Kumar Thakur, Adv.
                                                  Mr. Tridibesh Dasgupta, Adv.
                                                              ...for the appellant

                                                          Mr. Debraj Sahu, Adv.
                                                          Ms. Sormi Dutta, Adv.
                                                            ...for the defendant

        1. In an application for setting aside of the award, an initial

          objection was raised by the appellant with regard to the

          maintainability of the said application on the ground that the

          time to challenge the award had expired.

        2. The learned Single Judge on considering Section 3 and Section

          31 of the Arbitration and Conciliation Act, 1996 was of the view

          that in the event of any doubt being created with regard to the
                                2


  service of the award upon the award-debtor and in view of the

  stringent provisions regarding the period within which an award

  can be challenged, the Court would require strict compliance of

  delivery of a signed copy of the award by the Arbitral Tribunal

  and since the appellant in the instant case has failed to

  conclusively   establish   service   of   the   award   upon   the

  respondents, thereby triggering off the period of the limitation,

the initial objection as to the maintainability of the said

application was overruled.

3. The learned Single Judge has also drawn a distinction between

Section 3 and Section 31 of the Arbitration and Conciliation Act,

1996 to hold that Section 3 concerns service of notices by the

parties whereas Section 31 imposes a duty upon the Arbitrator

to deliver a signed copy of the award. The learned Single Judge

was of the view that delivery of the award by the arbitral tribunal

is not conclusively established.

4. Mr. Swatarup Banerjee, learned counsel appearing on behalf of

the award-holder has submitted that the learned Single Judge

has failed to take into consideration a Division Bench judgment

in Magma Fincorp Limited vs. Ashok Kumar & Ors. reported in

(2018) 1 CHN 391 where this issue has been conclusively

decided. However, it is fairly submitted that the order under

challenge is not an appellable order.

5. The application for setting aside of the award is yet to be

decided.

6. The appellant shall be at liberty to raise this issue after the

disposal of the application under Section 34 of the Arbitration

and Conciliation Act, 1996.

7. We are not inclined to interfere with the order as we are for the

view that the said order is not appellable under Section 37 of the

Arbitration and Conciliation Act, 1996.

8. With the aforesaid observation, AO-COM/6/2024 is disposed of.

(SOUMEN SEN, J.)

(PARTHA SARATHI SEN, J.)

bp/R.Bhar

 
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