ERNST AND YOUNG LLP Vs. MEDEOR HOSPITALS LTD

JUDGEMENT

(1.) This petition under Sec. 36 of the Arbitration and Conciliation Act, 1996 ('Act of 1996', hereinafter) has been filed seeking enforcement of the majority award dated August 17, 2021 passed by the Arbitral Tribunal.

(2.) Mr. Jayant Mehta, learned senior counsel for the petitioner has submitted that by way of the award, the Tribunal has awarded a sum of ?10 crore towards success fee to the petitioner after adjusting the retainer fee already paid to it by the respondent, interest on the said amount at the rate of 9% per annum from the date of the claim petition. i.e., November 15, 2016 till the date of the actual payment and a lump sum amount of ?5 lakh towards the cost of the proceedings. According to him, as on April 12, 2022, the total amount of ?14,95,43,836/- (including post award interest and costs) and also the retainer fee under the Letter of Engagement has not been paid by the respondent.

(3.) He submitted that vide order dated March 04, 2022 in OMP(COMM) 116/2022, the respondent was directed to deposit the awarded amount within four weeks thereafter. However, the said direction has not been complied with, and as such, as on date, there is no stay on the award. On the proposition that 100% pre-deposit has to be made in money awards, reliance has been placed on the judgments of the Supreme Court in Toyo Engineering Corporation and Anr. v. Indian Oil Corporation Limited CA Nos 4549-4550 of 2021; Manish v. Godawari Marathawada Irrigation Development Corporation, S.L.P (C) No(S). 11760-11761/2018; of this Court in Power Mech Projects Ltd. v. Sepco Electric Power O.M.P. (I) (Comm.) 523/2017; and of the High Court of Calcutta in Srei Infrastructure Finance Limited v. Candor Gurgaon Two Developers and Projects Pvt. Ltd 2019 SCC OnLine Cal 3846.