MORGAN VENTURES LTD Vs. NEPC INDIA LTD

JUDGEMENT

(1.) . These petitions/applications under Section 9 of the Arbitration and conciliation Act, 1996 [for short "the Act"] have been filed by the petitioners with a prayer that this Court should restrain respondent company and its directors, officers from selling, disposing of, transferring, alienating, encumbering or creating third party rights or interests in the movable/immovable properties and assets of the respondent company including the investments made by the respondent in other companies.

(2.) THE notice of the petition was duly served on the respondent, but the respondent did not appear.

(3.) THE case of the petitioners is that the respondent had entered into agreements dated 7th October, 2003 with the petitioners for designing, supply, installation, testing and commission of Wind Energy Generators. The respondent company was not only to identify appropriate land with suitable wind velocity but was also to give a minimum guarantee of generation of 6,75,000 Kwh units per machine per annum. The respondent company failed to fulfill its obligations resulting into the petitioners invoking arbitration clause and making claims against the respondent running into crores of rupees. The petitioners appointed arbitrator in terms of the arbitration clause contained in the contract. An application under Section 17 of the Act was made by the petitioners before the arbitrator. However, the learned arbitrator did not hear and decide this application rather recused himself from the arbitration because of distasteful objections taken by the respondent company against the authority of the arbitrator. Thereafter, another arbitrator was appointed in terms of the agreement. The respondent did not put appearance before the other arbitrator despite notices.