M/S Madaan Rice Mills vs Union Of India And Others
2024 Latest Caselaw 8448 P&H

Punjab-Haryana High Court

M/S Madaan Rice Mills vs Union Of India And Others on 22 April, 2024

Author: Deepak Sibal

Bench: Deepak Sibal

LPA-815-2024 (O&M) -1- 2024: PHHC:053922-DB

IN THE HIGH COURT OF PUNJAB AND HARYANA AT

CHANDIGARH
108 LPA-815-2024 (O&M)
Date of decision: 22.04.2024
M/S MADAAN RICE MILLS
Appellant
VERSUS

UNION OF INDIA AND OTHERS

...Respondents

CORAM: HON'BLE MR. JUSTICE DEEPAK SIBAL
HON'BLE MR. JUSTICE DEEPAK MANCHANDA

Present: Mr. Amit Jhanji, Senior Advocate with

Ms. Zaheen Kaur, Advocate
for the appellant.

Mr. Amit Goyal, Addl. AG, Punjab.

Mr. K.K. Gupta, Advocate
for respondents No.3 to 5-FCI.

Mr. Saunam Gill, Advocate for
Mr. M.S. Bath, Advocate

for respondents No.6 & 8.
36 2 2 2
DEEPAK SIBAL, J.(ORAL)

(1) Learned Senior counsel appearing for the appellant contends

that in the year 2013 when the appellant had initially knocked the doors of this Court through its writ petition to challenge therein the recovery sought to be made by the respondent-State Procurement Agency (for short -- Agency), in terms of the interim order passed by this Court, the appellant had furnished a bank guarantee to secure the impugned demand and that the appellant would be satisfied if the present appeal is disposed of by issuance

of appropriate directions for release of such bank guarantee as and when, in

NISHA

2024.04.26 14:03

| attest to the accuracy and authenticity of this order/judgment.

LPA-815-2024 (O&M) -2- 2024: PHHC:053922-DB terms of the impugned judgment of the learned Single Judge, the contesting parties go in for settlement of their dispute through arbitration.

(2) Learned counsel appearing for the contesting respondent- Agency states that he has no objection if the afore alternate prayer made on behalf of the appellant is accepted.

(3) The afore alternate prayer made on behalf of the appellant is found to be reasonable. Therefore, as also because of the no objection by the contesting respondent, the present appeal is disposed of relegating the contesting parties to the settlement of their dispute, which is the subject matter of the instant appeal, through arbitration. The appellant shall renew the afore referred bank guarantee, only till the date of filing of the claim before the Arbitrator and thereafter, any interim arrangement, would be in terms of an order to be passed by the appointed Arbitrator, in accordance with law.

(4) It is made clear that without permission of this Court, the bank guarantee furnished by the appellant shall not be encashed by the

respondent-Agency.

(5) All pending miscellaneous application(s) also stand disposed of.

(DEEPAK SIBAL) JUDGE (DEEPAK MANCHANDA) JUDGE April 22, 2024 Nisha Yadav Whether reasoned/speaking? Yes/No

Whether reportable? Yes/No

NISHA

2024.04.26 14:03

| attest to the accuracy and authenticity of this order/judgment.