Y K KHANNA Vs. R P AHUJA

JUDGEMENT

(1.) Award made by the sole arbitrator on 11.1.1999 is under challenge in Suit No. 1275/99 pending before learned Single Judge of Court. During pendency of the said suit various orders were passed with regard to sale of property bearing No. A-9/13-C, Vasant Vihar, New Delhi in favour of respondents 1 to 4 in terms of receipt dated 12.5.1997 and for liquidating the amount due and payable to Bank of India. There were some dispute amongst some Of the parties as regards the exact amount paid by respondent No.3 that whether it was Rs. 58,00,000.00 or less, because of which the property instead of being sold to respondents 1 to 4 was ordered to be auctioned. On 11.8.1999 the impugned order was passed by learned Single Judge for auction of the Vasant Vihar property and for paying of the dues of Bank of India. The said order is under challenge in this appeal by Shri Y.P. Khanna.

(2.) On 14.9.1999 while issuing notice of show cause in appeal, operation of the impugned order was stayed and on 15.10.1999 a consent order was passed. Under the said consent order all parties agreed that the Vasant Vihar property be sold to respondents 1 to 4 at the agreed price of Rs. 2.95 crores. As admittedly, a sum of Rs. 28,00,000.00 had been received and there was a dispute with respect to payment of remaining amount of Rs. 30,00,000.00. It was agreed that for the present only a sum of Rs. 2.37 crores will be payable by respondents 1 to 4. For the balance amount of Rs. 30,00,000.00 an undertaking was given on behalf of respondents 11 and 12, who were present in Court that in the event of it being held in the pending suit or in any other proceedings that respondents 1 to 4 had not paid a sum of Rs. 30,00,000.00 they will make good to respondents 8 to 10 theirhare in the said sum of Rs. 30,00,000.00. Consequently, the parties were required to apply for requisite permission of appropriate authority under Section 269 of the Income Tax Act. On sanction being granted sale deed was required to be executed within a period of two months. Sale deed was to be confirmed by all respondents and the appellant. At the time of execution of sale deed, respondents 1 to 4 were to deposit the balance amount of Rs. 2.37 crores with the Registrar; which amount was to be kept in a nationalised bank for a period of 45 days. Bank of India was given liberty to apply to learned Single Judge for orders.

(3.) On 7.2.2000 it was stated by learned counsel for the parties that memorandum of understanding as per order dated 15.10.1999 had been signed by all parties. It was also given to understand that parties will apply for permission to the appropriate authority in order to comply with the order dated 15.10.1999. Appeal was accordingly adjourned and C.M. 5432/99 was dismissed as infructuous.