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S. Ramachandra Reddy vs The Managing Director
2024 Latest Caselaw 25225 Kant

Citation : 2024 Latest Caselaw 25225 Kant
Judgement Date : 22 October, 2024

Karnataka High Court

S. Ramachandra Reddy vs The Managing Director on 22 October, 2024

                                                  -1-
                                                            NC: 2024:KHC-D:15241
                                                         MFA No. 101728 of 2021




                                  IN THE HIGH COURT OF KARNATAKA,
                                          DHARWAD BENCH

                             DATED THIS THE 22ND DAY OF OCTOBER, 2024

                                               BEFORE

                              THE HON'BLE MR. JUSTICE C.M. POONACHA

                        MISCELLANEOUS FIRST APPEAL NO.101728 OF 2021 (CPC)

                   BETWEEN:

                   S. RAMACHANDRA REDDY S/O. LATE. S. PARVATHAPPA,
                   AGED ABOUT 59 YEARS,
                   R/O: S.G.JUNIOR COLLEGE ROAD,
                   GANDHI NAGAR, BALLARI - 583 101.
                                                                       ...APPELLANT
                   (BY SRI G. Q. PATIL, ADVOCATE FOR
                   SRI B. CHIDANANDA, ADVOCATE)

                   AND:

                   1.     THE MANAGING DIRECTOR,
                          M/S. SUNDARAM FINANCE LIMITED,
                          NO.21, PATULLOS ROAD, CHENNAI - 600 002.
                   2.     S. MAHESH, SOLE ARBITRATOR/ADVOCATE,
                          R/O: OLD NO.152, NEW NO.315,
                          THAMBU CHETTY STREET,
Digitally signed          4TH FLOOR, CHENNAI - 600 001.
by SAROJA
HANGARAKI
Location: High     3.     G. SATHYANARAYANA S/O. LATE. GAVIYANNA,
Court of
Karnataka                 AGED ABOUT 70 YEARS,
                          R/O: D. NO.20/A248, M.V.NAGAR,
                          7TH CROSS, BALLARI - 583 102.
                                                                     ...RESPONDENTS

                        THIS MISCELLANEOUS FIRST APPEAL IS FILED UNDER ORDER
                   43 RULE 1(D) OF CODE OF CIVIL PROCEDURE, PRAYING TO SET
                   ASIDE THE ORDER 13.04.2016, PASSED BY THE PRINCIPAL
                   DISTRICT AND SESSIONS JUDGE, BALLARI MADE IN MISC. CASE
                   NO.23/2016, AND ALSO THE ORDER DATED 24.03.2021, PASSED BY
                   THE PRINCIPAL DISTRICT AND SESSIONS JUDGE, BALLARI MADE
                   MISC. CASE NO.39/2017 AND FURTHER TO RESTORE THE
                   ARBITRATION SUIT 05/2015 TO ITS ORIGINAL FILE, IN THE
                   INTEREST OF JUSTICE AND EQUITY AND ETC.,
                                          -2-
                                                         NC: 2024:KHC-D:15241
                                                   MFA No. 101728 of 2021




    THIS APPEAL, COMING ON FOR ORDERS, THIS DAY, THE ,
ORDER WAS MADE THEREIN AS UNDER:

CORAM:         THE HON'BLE MR. JUSTICE C.M. POONACHA

                                ORAL JUDGMENT

(PER: THE HON'BLE MR. JUSTICE C.M. POONACHA)

The present appeal is filed by plaintiff No.1

challenging the order dated 24.03.2021 passed in

Miscellaneous No.39/2017 by the Court of the Principal

District and Sessions Judge, Ballari1.

2. The relevant facts necessary for consideration

of the present appeal are that the appellant herein and

respondent No.3 availed credit facilities under the loan

agreement dated 14.01.2008 from respondent No.1

herein. Due to the default committed under the said loan

agreement, respondent No.1 instituted arbitration

proceedings, whereunder respondent No.2 herein was

appointed as the Arbitrator, consequent to which,

respondent No.2 passed the award. The appellant

preferred A.S.No.5/2015 to set aside the award passed by

Hereinafter referred to as 'Trial Court'

NC: 2024:KHC-D:15241

the Arbitrator. The said petition was dismissed on

17.02.2016 for non-prosecution. To recall the said order of

dismissal passed in A.S.No.5/2015, the appellant preferred

Miscellaneous Case No.23/2016. However, the same was

dismissed for non-prosecution on 13.04.2016. To recall

the said order dated 13.04.2016 passed in Miscellaneous

Case No.23/2016, the appellant preferred Miscellaneous

No.39/2017.

3. The respondent No.1 entered appearance

before the Trial Court and contested the said proceedings.

The Trial Court by its order dated 24.03.2021 dismissed

the said Miscellaneous No.39/2017 holding, inter alia, that

there are no bona fide reasons made out to set aside the

order of dismissal passed in Miscellaneous Case

No.23/2016. It has been further noticed by the Trial Court

that the petition in Miscellaneous No.39/2017 was filed

after a lapse of more than 380 days of dismissal of

Miscellaneous Case No.23/2016. The Trial Court has also

NC: 2024:KHC-D:15241

noticed the merits of the case put forth and has dismissed

Miscellaneous No.39/2017.

4. Although the appellant has filed the appeal

alleging various grounds, including that the arbitral award

passed by the sole Arbitrator is one having been rendered

ex-parte, it is clear from the factual matrix as noticed

above that the appellant has not effectively prosecuted the

Miscellaneous Case No.23/2016 and no grounds have been

made out to recall the dismissal of the said petition.

5. In view of the aforementioned, the appellant

has failed in demonstrating that the order passed by the

Trial Court is in any manner erroneous and liable to be

interfered with by this Court in the present appeal.

6. Hence, the above appeal is dismissed as being

devoid of merit.

Sd/-

(C.M. POONACHA) JUDGE

SH, CT-ASC

 
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