Citation : 2023 Latest Caselaw 2185 Ker
Judgement Date : 10 February, 2023
IN THE HIGH COURT OF KERALA AT ERNAKULAM
PRESENT
THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE
&
THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN
FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944
WA NO. 1468 OF 2020
AGAINST THE JUDGMENT IN WP(C) 26778/2014 OF HIGH COURT OF KERALA
APPELLANT/PETITIONER:
M.S.SAJITH KUMAR
AGED 54 YEARS
PROPRIETOR, HARDI TREBERS, INDUSTRIAL ESTATE,
UMAYANALLOOR P.O., KOLLAM-691589.
BY ADVS.
P.R.VENKATESH
SRI.G.KEERTHIVAS
RESPONDENTS/RESPONDENTS:
1 STATE OF KERALA REPRESENTED BY SECRETARY TO GOVERNMENT, DEPARTMENT OF INDUSTRIES, SECRETARIAT, THIRUVANANTHAPURAM-695001. 2 MICRO AND SMALL ENTERPRISES FACILITATION COUNCIL, REPRESENTED BY ITS CHAIRMAN (DIRECTOR OF INDUSTRIES AND COMMERCE), VIKAS BHAVAN, THIRUVANANTHAPURAM-695001. 3 TAMIL NADU STATE TRANSPORT CORPORATION DIVISION NO.IV, REPRESENTED BY ITS MANAGING DIRECTOR, VILLIPURAM DIVISION NO.I, 3/137, SALAMEDU, VELAYUDHA REDDY P.O., VILLIPURAM, TAMIL NADU-605602. BY ADVS.
SRI.SUBHASH CYRIAC SMTSHEEBA JOSEPH
OTHER PRESENT:
P. SANTHOSH KUMAR SPECIAL GP FOR R1 & R2
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA.No. 1468 of 2020 & Conn. Cases
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE & THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944 WA NO. 148 OF 2021 AGAINST THE JUDGMENT IN WP(C) 27050/2014 OF HIGH COURT OF KERALA APPELLANT/PETITIONER:
M.S.SAJITH KUMAR, PROPRIETOR, HARDI TREBERS, INDUSTRIAL ESTATE, UMAYANALLOOR P.O, KOLLAM 691 589.
BY ADVS.
P.R.VENKATESH SRI.G.KEERTHIVAS
RESPONDENTS/RESPONDENTS:
1 STATE OF KERALA REPRESENTED BY SECRETARY TO GOVERNMENT, DEPARTMENT OF INDUSTRIES , SECRETARIAT, THIRUVANANTHAPURAM- 695 001.
2 MICRO AND SMALL ENTERPRISES FACILITATION COUNCIL REPRESENTED BY ITS CHAIRMAN (DIRECTOR OF INDUSTRIES AND COMMERCE) VIKAS BHAVAN, THIRUVANANTHAPURAM- 695
001. 3 METROPOLITAN TRANSPORT CORPORATION DIVISION NO. II, REPRESENTED BY ITS MANAGING DIRECTOR, AYANAPURAM, CHENNAI, TAMIL NADU- 600 023. OTHER PRESENT:
P. SANTHOSH KUMAR SPECIAL GP FOR R1 & R2
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, ALONG WITH WA.1468/2020 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA.No. 1468 of 2020 & Conn. Cases
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE & THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944 WA NO. 184 OF 2021 AGAINST THE JUDGMENT IN WP(C) 26128/2014 OF HIGH COURT OF KERALA APPELLANT/PETITIONER:
M.S.SAJITH KUMAR AGED 54 YEARS PROPRIETOR,HARDI TREBERS,INDUSTRIAL ESTATE, UMAYANALLOOR P.O.,KOLLAM-691 589.
BY ADVS.
P.R.VENKATESH SRI.G.KEERTHIVAS
RESPONDENTS/RESPONDENTS:
1 STATE OF KERALA, REPRESENTED BY SECRETARY TO GOVERNMENT,DEPARTMENT OF INDUSTRIES,SECRETARIAT, THIRUVANANTHAPURAM-695
001. 2 MICRO AND SMALL ENTERPRISES FACILITATION COUNCIL, REPRESENTED BY ITS CHAIRMAN (DIRECTOR OF INDUSTRIES AND COMMERCE),VIKAS BHAVAN,THIRUVANANTHAPURAM-695 001. 3 TAMIL NADU STATE TRANSPORT CORPORATION, DIVISION NO.1 , REPRESENTED BY ITS MANAGING DIRECTOR,BYE PASS ROAD,MADHURAI,TAMIL NADU-625
010. OTHER PRESENT:
P. SANTHOSH KUMAR SPECIAL GP FOR R1 & R2
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
WA.No. 1468 of 2020 & Conn. Cases
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE & THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944 WA NO. 1499 OF 2020 AGAINST THE JUDGMENT IN WP(C) 25215/2014 OF HIGH COURT OF KERALA APPELLANT/PETITIONER:
M.S.SAJITH KUMAR AGED 54 YEARS PROPRIETOR, HARDI TREBERS, INDUSTRIAL ESTATE, UMAYANALLOOR P.O, KOLLAM-691 589
BY ADVS.
P.R.VENKATESH SRI.G.KEERTHIVAS
RESPONDENTS/RESPONDENTS:
1 STATE OF KERALA REPRESENTED BY SECRETARY TO GOVERNMENT, DEPARTMENT OF INDUSTRIES, SECRETARIAT, THIRUVANANTHAPURAM-695
2 MICRO AND SMALL ENTERPRISES FACILITATION COUNCIL REPRESENTED BY ITS CHAIRMAN (DIRECTOR OF INDUSTRIES AND COMMERCE), VIKAS BHAVAN, THIRUVANANTHAPURAM. 3 STATE EXPRESS TRANSPORT CORPORATION NO.2, REPRESENTED BY ITS MANAGING DIRECTOR, PALLAVANSALAI, CHENNAI-02.
OTHER PRESENT:
P. SANTHOSH KUMAR SPECIAL GP FOR R1 & R2
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, ALONG WITH WA.1468/2020 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA.No. 1468 of 2020 & Conn. Cases
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE & THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944 WA NO. 325 OF 2021 AGAINST THE JUDGMENT IN WP(C) 25755/2014 OF HIGH COURT OF KERALA APPELLANT/PETITIONER:
M.S.SAJITH KUMAR AGED 54 YEARS PROPRIETOR, HARDI TREBERS, INDUSTRIAL ESTATE, UMAYANALLOOR P O, KOLLAM-691589.
BY ADVS.
P.R.VENKATESH SRI.G.KEERTHIVAS
RESPONDENTS/RESPONDENTS:
1 STATE OF KERALA REPRESENTED BY SECRETARY TO GOVERNMENT, DEPARTMENT OF INDUSTRIES, SECRETARIAT, THIRUVANANTHAPURAM- 695001.
2 MICRO AND SMALL ENTERPRISES FACILITATION COUNCIL REPRESENTED BY ITS CHAIRMAN (DIRECTOR OF INDUSTRIES AND COMMERCE), VIKASS BHAVAN, THIRUVANANTHAPURAM-695001. 3 TAMIL NADU STATE TRANSPORT CORPORATION DIVISION NO.1 REPRESENTED BY ITS MANAGING DIRECTOR, NO.12, RAMAKRISHNA ROAD, SELAM, TAMIL NADU-636007. OTHER PRESENT:
P. SANTHOSH KUMAR SPECIAL GP FOR R1 & R2
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, ALONG WITH WA.1468/2020 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA.No. 1468 of 2020 & Conn. Cases
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE & THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944 WA NO. 434 OF 2021 AGAINST THE JUDGMENT IN WP(C) 27060/2014 OF HIGH COURT OF KERALA APPELLANT/PETITIONER:
M.S.SAJITH KUMAR AGED 54 YEARS PROPRIETOR, HARDI TREBERS, INDUSTRIAL ESTATE, UMAYANALLOOR P.O., KOLLAM-691589.
BY ADVS.
P.R.VENKATESH SRI.G.KEERTHIVAS
RESPONDENTS/RESPONDENTS:
1 STATE OF KERALA, REPRESENTED BY SECRETARY TO GOVERNMENT, DEPARTMENT OF INDUSTRIES, SECRETARIAT, THIRUVANANTHAPURAM- 695001.
2 MICRO SMALL ENTERPRISES FACILITATION COUNCIL, REPRESENTED BY ITS CHAIRMAN (DIRECTOR OF INDUSTRIES AND COMMERCE), VIKAS BHAVAN, THIRUVANANTHAPURAM- 695001.
3 TAMIL NADU STATE TRANSPORT CORPORATION, REPRESENTED BY ITS MANAGING DIRECTOR, MADHURAI DIVIION NO. IV, BYE PASS ROAD, DINDIGUL, TAMIL NADU-624004.
OTHER PRESENT:
P. SANTHOSH KUMAR SPECIAL GP FOR R1 & R2
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, ALONG WITH WA.1468/2020 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA.No. 1468 of 2020 & Conn. Cases
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE & THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944 WA NO. 171 OF 2021 AGAINST THEJUDGMENT IN WP(C) 12472/2015 OF HIGH COURT OF KERALA
APPELLANT/PETITIONER:
M.S.SAJITH KUMAR PROPRIETOR, HARDI TREBERS, INDUSTRIAL ESTATE, UMAYANALLOOR P.O., KOLLAM-691 589.
BY ADVS.
SRI.P.R.VENKATESH SRI.G.KEERTHIVAS
RESPONDENTS/RESPONDENTS:
1 STATE OF KERALA REPRESENTED BY SECRETARY TO GOVERNMENT, DEPARTMENT OF INDUSTREIS, SECRETARIAT, THIRUVANANTHAPURAM-695
001. 2 MICRO AND SMALL ENTERPRISES FACILITATION COUNCIL REPRESENTED BY ITS CHAIRMAN (DIRECTOR OF INDUSTRIES AND COMMERCE), VIKAS BHAVAN, THIRUVANANTHAPURAM-695
001. 3 TAMIL NADU STATE TRANSPORT CORPORATION MADHURAI DIVISION NO.II (NO. 1 AND 2) REPRESENTED BY ITS MANAGING DIRECTOR, VANNARPETTAI P.O., THIRUNELVELI, TAMIL NADU-627 003. OTHER PRESENT:
P. SANTHOSH KUMAR SPECIAL GP FOR R1 & R2
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, ALONG WITH WA.1468/2020 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA.No. 1468 of 2020 & Conn. Cases
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE & THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944 WA NO. 476 OF 2021 AGAINST THE JUDGMENT IN WP(C) 25759/2014 OF HIGH COURT OF KERALA
APPELLANT/PETITIONER:
M.S.SAJITH KUMAR AGED 43 YEARS PROPRIETOR, HARDI TREBERS, INDUSTRIAL ESTATE, UMAYANALLOOR P.O., KOLLAM-691 589.
BY ADVS.
P.R.VENKATESH SRI.G.KEERTHIVAS
RESPONDENTS/RESPONDENTS:
1 STATE OF KERALA REPRESENTED BY SECRETARY TO GOVERNMENT, DEPARTMENT OF INDUSTRIES, SECRETARIAT, THIRUVANANTHAPURAM-695
001. 2 MICRO SMALL ENTERPRISES FACILITATION COUNCIL, REPRESENTED BY ITS CHAIRMAN (DIRECTOR OF INDUSTRIES AND COMMERCE), VIKAS BHAVAN, THIRUVANANTHAPURAM-695
001. 3 METROPOLITAN TRANSPORT CORPORATION, DIVISION NO.II, REPRESENTED BY ITS MANAGING DIRECTOR, AYANAPURAM, CHENNAI, TAMIL NADU-600 023. OTHER PRESENT:
P. SANTHOSH KUMAR SPECIAL GP FOR R1 & R2
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, ALONG WITH WA.1468/2020 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA.No. 1468 of 2020 & Conn. Cases
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE & THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944 WA NO. 135 OF 2021 AGAINST THE JUDGMENT IN WP(C) 26072/2014 OF HIGH COURT OF KERALA
APPELLANT/PETITIONER:
M.S.SAJITH KUMAR, PROPRIETOR, HARDI TREBERS, INDUSTRIAL ESTATE, UMAYANALLOOR P O, KOLLAM-691 589.
BY ADVS.
P.R.VENKATESH SRI.G.KEERTHIVAS
RESPONDENTS/RESPONDENTS:
1 STATE OF KERALA REPRESENTED BY SECRETARY TO GOVERNMENT, DEPARTMENT OF INDUSTRIES, SECRETARIAT, THIRUVANANTHAPURAM-695 001. 2 MICRO AND SMALL ENTERPRISES FACILITATION COUNCIL , REPRESENTED BY ITS CHAIRMAN (DIRECTOR OF INDUSTRIES AND COMMERCE), VIKAS BHAVAN, THIRUVANANTHAPURAM-695
001. 3 TAMIL NADU STATE TRANSPORT CORPORATION, MADHURAI DIVISION NO. V, REPRESENTED BY ITS MANAGING DIRECTOR, NO.9, KUMARASWAMI RAJA NAGAR, VIRUDHANAGAR, TAMIL NADU-626 003.
OTHER PRESENT:
P. SANTHOSH KUMAR SPECIAL GP FOR R1 & R2
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, ALONG WITH WA.1468/2020 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA.No. 1468 of 2020 & Conn. Cases
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE & THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944 WA NO. 225 OF 2021 AGAINST THE JUDGMENT IN WP(C) 26837/2014 OF HIGH COURT OF KERALA APPELLANT/PETITIONER:
M.S.SAJITH KUMAR AGED 54 YEARS PROPRIETOR, HARDI TREBERS, INDUSTRIAL ESTAET, UMAYANALLOOR P.O., KOLLAM-691589.
BY ADV P.R.VENKATESH SRI.G.KEERTHIVAS
RESPONDENTS/RESPONDENTS:
1 STATE OF KERALA REPRESENTED BY SECRETARY TO GOVERNMENT, DEPARTMENT OF INDUSTRIES, SECRETARIAT, THIRUVANANTHAPURAM- 695001.
2 MICRO AND SMALL ENTERPRISES FACILITATION COUNCIL, REPRESENTED BY ITS CHAIRMAN (DIRECTOR OF INDUSTRIES AND COMMERCE), VIKAS BHAVAN, THIRUVANANTHAPURAM- 695001.
3 STATE EXPRESS TRANSPORT CORPORATION, DIVISION NO.1 REPRESENTED BY ITS MANAGING DIRCTOR, SHENKOTTAI, TAMIL NADU.
OTHER PRESENT:
P. SANTHOSH KUMAR SPECIAL GP FOR R1 & R2
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, ALONG WITH WA.1468/2020 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA.No. 1468 of 2020 & Conn. Cases
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE A.MUHAMED MUSTAQUE & THE HONOURABLE MRS. JUSTICE SHOBA ANNAMMA EAPEN FRIDAY, THE 10TH DAY OF FEBRUARY 2023 / 21ST MAGHA, 1944 WA NO. 193 OF 2021 AGAINST THE JUDGMENT IN WP(C) 26770/2014 OF HIGH COURT OF KERALA
APPELLANT/PETITIONER:
M.S.SAJITH KUMAR AGED 54 YEARS PROPRIETOR, HARDI TREBERS, INDUSTRIAL ESTATE, UMAYANALLOOR P.O., KOLLAM-691589.
BYP.R.VENKATESH SRI.G.KEERTHIVAS
RESPONDENTS/RESPONDENTS:
1 STATE OF KERALA REPRESENTED BY SECRETARY TO GOVERNMENT, DEPARTMENT OF INDUSTRIES, SECRETARIAT, THIRUVANANTHAPURAM- 695001.
2 MICRO AND SMALL ENTERPRISES FACILITATION COUNCIL, REPRESENTED BY ITS CHAIRMAN (DIRECTOR OF INDUSTRIES AND COMMERCE), VIKAS BHAVAN, THIRUVANANTHAPURAM-695001. 3 TAMIL NADU STATE TRANSPORT CORPORATION, VILLIPURAM DIVISION NO.III (NO.1 AND 2), REPRESENTED BY ITS MANAGING DIRECTOR, NO.9, SHEIKPAT NAGAR, KANCHIPURAM, TAMIL NADU-631501.
OTHER PRESENT:
P. SANTHOSH KUMAR SPECIAL GP FOR R1 & R2
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 10.02.2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WA.No. 1468 of 2020 & Conn. Cases
Dated this the 10th day of February, 2023
JUDGMENT
[WA Nos.1468/2020, 148/2021, 184/2021, 1499/2020, 325/2021, 434/2021, 171/2021, 476/2021, 135/2021, 225/2021, 193/2021]
A. MUHAMED MUSTAQUE, J.
These appeals are at the instance of applicants who
have raised claim before the Micro and Small Enterprises
Facilitation Council, Kerala. They claimed that Tamil Nadu
State Road Transport Corporation is liable to make payments
for various supplies made by them. This has been considered
by the Council and noting that there was a considerable
delay involved, rejected the claim and passed an award. The
award passed is an arbitration award as referable under
Section 18(3) of the Micro, Small and Medium Enterprises
Development Act, 2006.
2. The challenge made before the learned Single Judge
against the arbitration was unsuccessful. The learned Single
Judge found that efficacious alternative remedy is available
under Section 34 of the Arbitration and Conciliation Act, to
set aside the award.
WA.No. 1468 of 2020 & Conn. Cases
3. The appellant's case is that, award itself is a nullity,
inasmuch as, there was no compliance of Section 18(2) of the
above Act which contemplates mandatory conciliation prior
to initiation of arbitration proceedings.
4. The learned counsel also placed reliance on the
judgment of the Apex Court in Jharkhand Urja Vikas
Nigam Limited VS State of Rajasthan (2022 1 KLT 141).
The Apex Court in above case held as follows:
"13. The order dated 06.08.2012 is a nullity and runs contrary not only to the provisions of MSMED Act but contrary to various mandatory provisions of Arbitration and Conciliation Act, 1996. The order dated 06.08.2012 is patently illegal. There is no arbitral award in the eye of law. It is true that under the scheme of the Arbitration and Conciliation Act, 1996 an arbitral award can only be questioned by way of application under Section 34 of the Arbitration and Conciliation Act, 1996. At the same time when an order is passed without recourse to arbitration and in utter disregard to the provisions of Arbitration and Conciliation Act, 1996, Section 34 of the said Act will not apply. We cannot reject this appeal only on the ground that appellant has not availed the remedy under Section 34 of the Arbitration and Conciliation Act, 1996. The submission of the learned senior counsel appearing for the 3rd respondent that there was delay and WA.No. 1468 of 2020 & Conn. Cases
laches in filing writ petition also cannot be accepted. After 06.08.2012 order, the appellant after verification of the records has paid an amount of Rs.64,43,488/- on 22.01.2013 and the said amount was received by the 3rd Page 5 of 6 respondent without any protest. Three years thereafter it made an attempt to execute the order in Execution Case No.69 of 2016 before the Civil Judge, Ranchi, which ultimately ended in dismissal for want of territorial jurisdiction, vide order dated 31.01.2017. Thereafter S.B.Civil Writ Petition No.11657 of 2017 was filed questioning the order dated 06.08.2012 before the Rajasthan High Court. In that view of the matter it cannot be said that there was abnormal delay and laches on the part of the appellant in approaching the High Court. As much as the 3rd respondent has already received an amount of Rs.63,43,488/- paid by the appellant, without any protest and demur, it cannot be said that the appellant lost its right to question the order dated 06.08.2012. Though the learned counsel appearing for the respondents have placed reliance on certain judgments to support their case, but as the order of 06.08.2012 was passed contrary to Section 18(3) of the MSMED Act. and the mandatory provisions of the Arbitration and Conciliation Act, 1996, we are of the view that such judgments would not render any assistance to support their case."
5. As observed by the Apex Court, any arbitration
award without recourse to conciliation is a nullity. Since, an WA.No. 1468 of 2020 & Conn. Cases
arbitration is conducted by invoking statutory provision,
there is no embargo for this Court to set right the procedure
adopted for arbitration in accordance with the statutory
provision. Being such circumstances, we are of the view, the
impugned award has to be set aside for re-consideration.
6. It is to be noted that arbitration claim was rejected
on the footing that limitation would apply. In case the
conciliation is failed and the arbitration is initiated, the
arbitration council shall advert to Section 2(4) of the
Arbitration and Conciliation Act and decide whether
limitation would apply or not, before deciding the matter.
7. We make it clear that, before initiating arbitration,
the council shall refer the dispute for conciliation at the first
level and if the matter is not settled, direct to consider the
claim on merit invoking provision for arbitration.
8. The learned counsel for the Tamil Nadu State Road
Transport Corporation argued that the applicants before the
council have no registration under the MSMED Act. This
aspect shall also be gone into before proceeding further in
the matter. We direct the parties to report before the
council's office for initiating proceedings as directed by this
Court on 20.03.2023.
WA.No. 1468 of 2020 & Conn. Cases
The impugned judgment is set aside and writ appeals
are allowed. The impugned awards are also set aside.
Sd/-
A.MUHAMED MUSTAQUE
JUDGE
Sd/-
SHOBA ANNAMMA EAPEN JUDGE mtk
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