Madras High Court
This Application Is Filed By The vs (Rupees Three Crores And Fifty ... on 15 July, 2021
Arb. A.No.244 & 245 of 2021
Arb.A.No.244 & 245 of 2021 and
Arb.A.No.7 & 8 of 2021
N.SATHISHKUMAR, J.
Arb.A.No.244 of 2021:
This application is filed by the applicant to
(i) direct the Registry of this Court to pay the sum of Rs.3,50,00,000/-
(Rupees three Crores and fifty lakhs only) lying in Court deposit to the credit of
the above application in favour of the applicant by issuing cheque in favour of the
applicant or transfer the said funds to the applicant Bank account with HDFC Bank
by RTGS/NEFT mode.
(ii) direct the first respondent to withdraw the sum of Rs.7,43,58,090/-
(Rupees seven Crores forty three lakhs fifty eight thousand and ninety only) lying
to the credit of O.A.Nos.328 and 329 of 2021 in Indian Bank, Esplanade branch and
the pay same to the applicant either by issuing a cheque in favour of the applicant
or transfer the said funds to the applicant's HDFC Bank account by RTGS / NEFT
mode.
Arb.A.No.245 of 2021:
This application is filed by the applicant to
(i) direct the Registry of this Court to pay the sum of Rs.3,50,00,000/-
(Rupees three Crores and fifty lakhs only) lying in Court deposit to the credit of
the above application in favour of the applicant by issuing cheque in favour of the
applicant or transfer the said funds to the applicant Bank account with HDFC Bank
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Arb. A.No.244 & 245 of 2021
by RTGS/NEFT mode.
(ii) direct the first respondent to withdraw the sum of Rs.5,27,73,932/-
(Rupees seven Crores twenty seven lakhs seventy three thousand nine hundred and
thirty two only) lying to the credit of O.A.Nos.328 and 329 of 2021 in Indian Bank,
Esplanade branch and the pay same to the applicant either by issuing a cheque in
favour of the applicant or transfer the said funds to the applicant's HDFC Bank
account by RTGS / NEFT mode.
2. These two applications are filed for payment of money deposited
pursuant to the orders of an Hon'ble Division Bench of this Court. It is relevant to
note that this Court by its order dated 15.7.2021 directed the respondents herein
viz., Poompugar Shipping Corporation to deposit a sum of Rs.7,00,00,000/-
(Rupees seven Crores only) to the credit of aforesaid applications before this Court
on or before 26.7.2021. Though the respondents admitted the liability to the tune
of Rs.19,71,31,022/- (Rupees nineteen crores seventy one lakhs thirty one
thousand and twenty two only), this Court taking note of the statutory dues,
directed the respondents to deposit Rs.7 Crores alone by its order dated
15.7.2021. The above matter was challenged before the Hon'ble Division Bench of
this Court wherein the Hon'ble Division Bench passed the following order:
“2. Merely because the first respondent is a
government Company does not absolve it from discharging its
commercial obligations. It is of no concern to the Court that the
first respondent may have statutory liabilities which need to be
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Arb. A.No.244 & 245 of 2021
cleared. The statutory authorities can invoke appropriate
provisions and attach the assets of a recalcitrant assessee.
3. As far as the present claim is concerned, there is no
defence to the extent of over Rs.19.71 crore out of a claim of
about Rs.58 crore. In view of the recent Supreme Court
judgment reported at AIR 2021 SC 2161 (Rahul S.Shah V.
Jinendra Kumar Gandhi), it would not do for a defendant in a
money claim to take advantage of the law's delays, particularly
in a commercial matter. When a person admits any payment to
be due from him to another and does not raise any counter claim,
the amount admitted to be due ought to be paid, or at the very
least, deposited in Court.
4. The appellants here refer to the usual practice by
which the appellants would raise bills on the first respondent
herein on a periodic basis and either monies would be paid or
minor disputes would be raised which would be addressed. The
appellants assert that apart from not paying even the amount
which is admitted to be due and recorded as the admitted sum in
the order impugned, no disputes have been raised pertaining to
the other bills.
5. The first respondent should immediately deposit a
sum of Rs.19 crores in a no lien account in any Nationalised
Bank of the first respondent's choice having a branch in the city
of Chennai, such deposit must be in place before the matter
appears next on 25/8/2021.”
3. Pursuant to the order passed by the Hon'ble Division Bench of this
Court as stated supra, this Court by its order dated 24.9.2021 permitted the
applicant to withdraw a sum of Rs.7,00,00,000/- (Rupees seven crores only) out of
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Arb. A.No.244 & 245 of 2021
the amount deposited to the credit of the aforesaid applications before this Court.
Thereafter, on a specific submission made by the respondent viz., Poompugar
Shipping Corporation that there are other amounts due and payable by TANGEDCO.
In so far as the other amounts due and payable by TANGEDCO, only after
impleading TANGEDCO as party in the proceedings, the entire amounts could be
settled not only to the applicant but also to other shipping owners. In order to
resolve the issues though it is not raised in these applications, this Court is
inclined to implead TANGEDCO as party /6th respondent. Mr.J.Ravindran,
Additional Advocate General took notice for TANGEDCO filed memo and status
report indicating that they are not liable to pay any amount to the Poompugar
Shipping Corporation. Once TANGEDCO denied liability, this Court cannot make
any rowing enquiry in this aspect. Whether such denial is proper or not is a matter
to be agitated by the Poompugar Shipping Corporation as against TANGEDCO as
TANGEDCO took categorical stand that no money payable to the Poompugar
Shipping Corporation. The dispute in that aspect between Poompugar Shipping
Corporation and TANGEDCO, cannot be decided or resolved in these applications.
It is for the Poompugar Shipping Corporation to take appropriate action as may be
advised in this regard.
4. As far as the release of the remaining amount of Rs.12 Crores which
was deposited in no lien account pursuant to the orders of the Hon'ble Division
Bench of this Court, this Court is of the view that liability to the tune of Rs.19.71
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Arb. A.No.244 & 245 of 2021
crores is not at all disputed by the respondents. What was ordered to be deposited
is an admitted amount, not disputed amount. Such being the position, when the
admitted amount is already secured and preserved, there was no dispute in
respect of the admitted liability and no further adjudication is required in this
aspect.
5. In view of the above and recording the memo of calculation produced
by Mr.Vasudevan, Counsel appearing for the applicant, this Court is inclined to
pass the following order:
(i) Out of Rs.12 Crores deposited in No lien account by Poompugar
Shipping Corporation, the applicant in Arb.A.No.245 of 2021 viz., M.Pallonji
Logistics Private Ltd. is entitled to withdraw a sum of Rs.8,77,73,932/- (Rupees
eight Crores seventy seven lakhs seventy three thousand nine hundred and thirty
two only).
(ii) The applicant in Arb.A.No.244 of 2021 viz., M.Pallonji Shipping
Private Ltd. is entitled to withdraw a sum of Rs.3,93,58,090/- (Rupees three
Crores ninety three lakhs fifty eight thousand and ninety only).
With the above directions, Arb.A.No.244 and 245 of 2021 are disposed
of. Consequently, Arb.A.Nos.7 and 8 of 2021 are closed.
28.10.2021
vaan
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Arb. A.No.244 & 245 of 2021
N.SATHISHKUMAR, J.
vaan
Arb. A.No.244 & 245 of 2021
Arb.A.No.7 & 8 of 2021
Dated: 28.10.2021
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