Ashok Manchanda vs Angle Infrastructure Pvt. Ltd. & ...
2014 Latest Caselaw 5824 Del

$~34
*    IN THE HIGH COURT OF DELHI AT NEW DELHI
+     EX.P. 405/2014
      ASHOK MANCHANDA                     ..... Decree Holder
                 Through: Mr. Ravi Varma and Ms. Satakshi Sood,
                 Advocates
                          versus

      ANGLE INFRASTRUCTURE PVT. LTD.
      AND ORS.                       ..... Judgement Debtors
                     Through
      CORAM:
      HON'BLE MR. JUSTICE RAJIV SHAKDHER
               ORDER

% 14.11.2014

1. By this execution petition, the following reliefs are sought :-

"..a). Issue Transfer Certificate in favour of the District Judge, Gurgaon for issuing an order of attachment and sale of the immovable properties of the Judgment Debtor No.1 as per list attached as Annexure 'A'.

b). Attach bank account no. - current a/c no.09232560000996 in HDFC Bank, Jasola, New Delhi-25 belonging to the Judgment Debtor No.1.

c). Award costs of this Execution Petition to the decree holder and against the judgment debtor no.1..."

2. I had put to Mr. Varma as to whether the execution petition would lie in this court with respect to the immovable property referred to in prayer clause (a). The learned counsel has examined the matter and submitted thereafter (and in my view quite correctly) that if, order dated 06.11.2013 is in the nature of an award, then this court need not pass orders transferring the decree to the concerned court for attachment and sale of the immovable EX.P. 405/2014 page 1 of 3 property adverted to in prayer clause (a) read with Annexure A to the petition.

3. In so far as prayer (b) is concerned, Mr. Varma says that he does not press the same.

4. I am informed by the learned counsel that two petitions filed under Section 9 of the Arbitration and Conciliation Act, 1996 (in short the Act), being nos.OMP 420/2013 and 378/2013 were filed, whereupon this court by order dated 08.05.2013 had referred the parties to the Delhi High Court Mediation and Conciliation Centre (in short the Centre). Via the intercession of the Centre, a compromise was arrived at between the parties, which led to a settlement agreement being executed, which is dated 30.10.2013 (appended as Annexure B to the petition). The settlement was placed before the court, whereby vide order dated 06.11.2013, the settlement was perused and having been found lawful, the aforementioned petitions under Section 9 of the Act were disposed of, in terms of the settlement. It was also indicated in the said order that a decree be passed in terms of the settlement.

4.1 It is on this account, Mr. Varma says that this court may perhaps have to transfer the decree. I tend to disagree with Mr. Varma. The power vested in the court to refer the parties to mediation is provided not only in Section 89 of the Code of Civil Procedure, 1908 (CPC) but also under the Act. Section 73 of the Act provides the manner in which a conciliator is required to proceed in case elements of settlement exist and thereupon a settlement is reached. Section 74 of the Act enunciates as to what would be the status and effect of the settlement agreement. The said provision for the sake of EX.P. 405/2014 page 2 of 3 convenience is extracted hereinbelow :-

"..74. Status and effect of settlement agreement - The settlement agreement shall have the same status and effect as if it is an arbitral award on agreed terms on the substance of the dispute rendered by an arbitral tribunal under section 30."

5. A bare perusal of the provision would show that a settlement morphs into an arbitral award; albeit on agreed terms. If that be the position in law, what was stated on 06.11.2013, would not be any higher than that. 5.1 Having regard to the fact that settlement has become an award, the petitioner can take recourse to execution proceedings. The petition would have been otherwise maintainable in this court if, immovable property was located in Delhi. Having regard to the fact that the immovable property is located in Gurgaon in the state of Haryana, this court need not deal with the matter. An appropriate execution petition can be filed straightaway in the concerned court. [See Daelim Industrial Co. Ltd. Vs. Numaligarh Refinery Ltd., 2009 (3) Arb. LR 524 (Delhi)]

6. With the aforesaid observations in place, the captioned petition is disposed of with liberty to file a fresh execution petition in the concerned court.

                                               RAJIV SHAKDHER, J
NOVEMBER 14, 2014
Yg
EX.P. 405/2014                                                    page 3 of 3