VIDEOCON POWER LIMITED Vs. TAMIL NADU ELECTRICITY BOARD

JUDGEMENT

(1.) THE above Execution Petition has been filed under Sections 44, 47, and 49 of the Arbitration and Conciliation Act, 1996, read with Order XXI, Rule 12, CPC and Order XIV, Rule 8 of the Original Side Rules for enforcement of the foreign arbitral award dated June 21, 2004. When this Execution Petition was filed, the Registry did not number it and only gave the S. R number on entertaining a doubt whether the Execution Petition is maintainable or not.

(2.) THE brief facts of the contentions raised by the petitioner/decree holder are as follows: THE petitioner is a public limited company incorporated under the Indian Companies Act, 1956. THE respondent is the Tamil Nadu Electricity Board. Between the petitioner and the respondent there was an arbitration proceedings before a foreign arbitral tribunal consisting of three members viz. , (i) Mr. V. V. Veeder, Q. C. , (the Chairman of the Tribunal appointed by the Secretary General of the Permanent Court of Arbitration at the Hague) (ii) Mr. Justice S. Mohan (Retd) (the respondent/judgment debtor's nominee and (iii) Mr. Justice M. L. Pendse, (Retd). , the petitioner/decree holder's nominee) by invoking the arbitration agreement between the petitioner/decree holder and the respondent/judgment debtor contained in Article 17. 3 of the Power Purchase Agreement dated February 2, 1998 as am ended from time to time. THE Arbitral Tribunal commenced its proceedings in November 2000. THE arbitration proceedings were conducted in accordance with the UNCITRAL Rules of Arbitration as found in Article 17. 3 of the Power Purchase Agreement. In accordance with the stipulation in the PPA the arbitration sittings were conducted at Singapore. After hearing the parties and considering the evidence let in by both the parties, the arbitral tribunal unanimously ruled in favour of the petitioner/decree hold er by allowing the petitioner's claim for damages in a sum of Rs. 1,020,696,010/= and US$ 4,170,079 with post award simple interest on the Indian Rupee amounts at 13% per annum and on the US$ amounts at 5% per annum and also claim for legal and arbitration costs in the amounts of Rs. 1,078,370/= and US$ 125,000. THE legal cost also carried post award simple interest on the Indian Rupee amounts at 13% per annum and on the US$ amounts at 5% per annum. THE arbitral tribunal unanimously rejected the respondent/judgment debtor's counter claim for declaratory reliefs and compensation.

(3.) ALONG with the Execution Petition, the petitioner/decree holder has also filed Application No: 3986 of 2004 to issue a prohibitory order, prohibiting the garnishee bank from paying or delivering any cash deposits, reserves, receivables and Fixed Deposits held by the first respondent/judgment debtor lying in any of the respondent's bank accounts in the Garnishee Bank and its Branches for the decree amount pending disposal of the above Execution Petition.