MADAN MOHAN RAJGARHIA Vs. MAHENDRA R SHAH

JUDGEMENT

(1.) SHRI Madan Mohan Rajgarhia, has filed this suit for recovery of Rs.5,63,334.00 against M/s Mahendra R.Shah and: Bros. and Ors. Suit is based on the ground that he utilised the services of the defendant for sale and purchase of shares, debentures, etc. of various companies. The parties were maintaining statement of accounts and as per the sale and purchase of shares/ debentures etc. debit/credit entries were made. Statement of accounts were existing between the parties as per final accounts after giving due credit to amounts due from one to the other. A sum of Rs.4,14,582.10 Paise was found due from the defendant. Basing his claim on these facts the suit has been filed by the plaintiff.

(2.) SUMMONS in the suit were issued in response to which, the defendant instead of filing the written statement has filed present application under Section 34 of the Indian Arbitration Act (in short the Act). The main plea of the defendant is that the suit at Delhi is not maintainable, it is liable to be stayed because there exists an arbitration agreement which confer jurisdictioin to the Court at Bombay.