SHIPRA ESTATE LIMITED Vs. INDIABULLS HOUSING FINANCE LIMITED

JUDGEMENT

(1.) The petitioners have filed the present petition under Sec. 9 of the Arbitration and Conciliation Act, 1996 (hereinafter the 'A&C Act') inter alia, praying that Indiabulls Housing Finance Limited (arrayed as respondent no. 1 in these petitions and hereafter referred to as 'Indiabulls') be restrained from giving effect to the Legal Notice dtd. 3/7/2021 (hereafter the 'impugned notice') for the sale of 100% of the equity shares of Kadam Developers Private Limited (hereafter 'Kadam').

(2.) Kadam is a wholly owned subsidiary of Shipra Estates Limited (hereafter 'SEL'). SEL held 9,800/- shares constituting 98% of the issued and paid-up equity shares of Kadam. Mohit Singh and Bindu Singh, two individuals, held 100 equity shares each of Kadam constituting the balance 2% of the issued equity shares as nominees of SEL. Kadam is also a part of the Shipra group of companies. The shareholders of Kadam (SEL, Mr Mohit Singh and Ms Bindu Singh) pledged their equity shareholding in Kadam (hereafter the 'Pledged Shares') to secure financial loans extended by Indiabulls to SEL, Shipra Leasing Private Limited (hereafter 'SLPL') and Shipra Hotels Limited (hereafter 'SHL'). SEL, SLPL and SHL are collectively referred to as the 'Borrowers'.

(3.) By the impugned notice, Indiabulls informed Kadam, Ms Bindu Singh and Mr Mohit Singh that it had sold the entire one hundred percent shares of Kadam to Creative Souls Technology India Private Limited, (hereafter 'Creative'), which was a group company of M3M India Private Limited (hereafter 'M3M'), in terms of a Share Sale Purchase Agreement dtd. 1/7/2021 for a sum of Rs.900.00 crores.