Calcutta High Court
L And T Finance Limited vs Agarwal Pipe And Fittings And Ors on 6 May, 2025
Author: Arijit Banerjee
Bench: Arijit Banerjee
OCD-1
ORDER SHEET
APOT/112/2025
WITH
AP-COM/70/2025
IA No.GA-COM/1/2025
IN THE HIGH COURT AT CALCUTTA
Commercial Appellate Division
ORIGINAL SIDE
L AND T FINANCE LIMITED
VERSUS
AGARWAL PIPE AND FITTINGS AND ORS.
BEFORE:
The Hon'ble JUSTICE ARIJIT BANERJEE
AND
The Hon'ble JUSTICE OM NARAYAN RAI
Date : 6th May, 2025.
Appearance:
Mr. Ritoban Sarkar, Adv.
Ms. Archana Chowdhary, Adv.
Ms. Priyanka Ghosh, Adv.
..for the appellant
The Court: Leave is granted to learned Advocate-on-Record for the
appellant to correct the cause-title of the appeal papers.
Affidavit of service filed in Court today be kept with the records.
From the affidavit, it appears that the respondent nos.1 and 2 have
been served. However, nobody appears for them.
This appeal is directed against a judgment and order dated
February 26, 2025, whereby the appellant's application for interim relief
under Section 9 of the Arbitration and Conciliation Act, 1996 being AP-
COM/70/2025 was in effect dismissed by a Learned Judge of this Court.
The appellant claims to have lent and advanced sums of money to
the respondent no.1. The respondent nos.2 and 3 appear to be partners to
the respondent no.1.
Presently, according to the appellant, a sum of approximately
Rs.32 lakh is due and payable by the respondents to the appellant. In spite
of demand, the respondents have failed, neglected and refused to repay the
dues of the appellant.
The appellant says that there is an arbitration clause in the loan
agreement between it and the respondents. It shall initiate arbitration.
However, in the meantime, some interim protection should be granted to the
appellant as the respondents are not responding to the notices sent by the
appellant.
Accordingly, the appellant had approached the learned Single
Judge with an application under Section 9 of the 1996 Act. The Learned
Judge observed that the petitioner had a mere unsecured claim. No case
had been made out under Order XXXVIII Rule 5 of the CPC for passing an
order of or in the nature of attachment before judgment. Further, details of
properties in respect of which an order of injunction can be passed or over
which Receiver may be appointed, have not been furnished. The Learned
Judge dismissed the application observing that "If the situation demands
that an order of injunction or any such interim protection in respect of the
alleged loan, would become necessary, the petitioner may proceed in
accordance with law."
Being aggrieved, the appellant is before us by way of this appeal.
We have heard learned counsel for the appellant. Prima facie, it
does appear that monies are due and payable to the appellant by the
respondents. The respondents did not appear before the learned Single
Judge in spite of service of notice. Before us also, the respondents are not
represented although the respondent nos.1 and 2 have received notice of the
present proceedings. The conduct of the respondents is thus suspicious.
They appear to be avoiding these proceedings.
In view of the aforesaid, we are, prima facie, of the opinion that
some interim protection ought to be granted to the appellant.
In the said petition, at paragraph 16, the appellant/petitioner has
stated as follows:
"16. The petitioner has been able to ascertain that the
Respondent No.1 have a bank account no.777705564549
with ICICI Bank Limited, having its branch office at 22, R.N
Mukherjee Road, Kolkata 700001, West Bengal, wherein the
commercial proceeds and receivables of the respondent is
being credited regularly."
We restrain the respondents from operating or withdrawing any
money from the aforesaid bank account no.777705564549 maintained with
ICICI Bank Limited, R. N. Mukherjee Road Branch without leaving a credit
balance of Rs.32 lakhs.
Let this matter be listed again on May 20, 2025.
A copy of this order will be served on the respondents and affidavit
of service be filed in Court on the next day.
This order will continue till May 23, 2025 or until further order,
whichever is earlier.
All parties concerned including the Branch Manager, ICICI Bank
Limited, R. N. Mukherjee Road shall act on a server copy of this order.
(ARIJIT BANERJEE, J.)
(OM NARAYAN RAI, J.)
bp.
