CONCILIUM MARINE GROUP AB Vs. SHARATH THAZHATHE VEEDU

JUDGEMENT

(1.) This original petition is filed under Ss. 2(1)(e), 2(2) and Sec. 9 of the Arbitration and Conciliation Act, 1996 (for short 'the Act') for an interim injunction restraining the respondent and his men or agents from alienating or encumbering the petition schedule properties or creating any document or conveyance in respect of those properties before the satisfaction of the Arbitral Award dtd. 30/1/2023 in S.C.C Arbitration V2020/199 of the Arbitral Tribunal, Sweden.

(2.) The 1stpetitioner is a joint stock company incorporated under the laws of Sweden, and the 2ndpetitioner is its parent company. The respondent was the erstwhile Managing Director of the 2ndpetitioner company who resigned from the directorship of the said company following allegations of misappropriation. It is stated that when the petitioner companies initiated criminal prosecution against the respondent, he approached the petitioner companies and requested to dispense with the criminal prosecution in return for his offer to resign from all the designated posts of the companies and to pay the amount misappropriated immediately. However, the respondent, as claimant, is said to have initiated arbitration proceedings at Sweden against the petitioners as S.C.C Arbitration V2020/199, which resulted in the arbitral award dtd. 30/1/2023 dismissing the claims due to lack of jurisdiction, but awarding costs and interest on costs to the petitioners herein who were the respondents in that arbitration proceedings. As per the above award, the petitioners claim to be entitled to an amount of Rs.8,95,44,507.00 as costs and Rs.1,55,54,963.00, Rs.21,743.23 and Rs.2,272.15 as costs of arbitration in addition to interest charged on the above amount.

(3.) Alleging that the respondent is trying to fraudulently dispose of and encumber the petition schedule properties belonging to him to defeat the execution of the above award, the petitioners have filed the present original petition to injunct the respondent from committing any such acts.