SICAL LOGISTICS LIMITED Vs. NLC TAMILNADU POWER LIMITED

JUDGEMENT

(1.) The writ petitioner is a company registered under the Companies Act and is engaged in the business of Logistics. The petitioner entered into a contract agreement dated 03.07.2013 with the respondent for liaisoning, movement and handling of 3.0 Millinon Tons Per Annum (MTPA) of raw coal from Bhubaneswari Mines of M/s.Mahanadi Coalfields Limited ("MCL') Talcher, Orissa and other works. The confirmation of the contract was made vide letter dated 06.10.2015 issued by the second respondent.

(2.) These two developments namely, issuance of the letter dated 15.09.2018 and the tender notice dated 22.09.2018, led the petitioner to invoke the arbitration clause set out in the contract dated 03.07.2013. They filed AR.OP No.72 of 2018 before the Principal District Judge, Tuticorin under Section 9 of the Arbitration and Conciliation act, 1996. In the said petition, interim applications were taken out for restraining the respondents from taking any coercive steps under the Contract and for other reliefs. Interim orders were granted by the in-charge Principal District Judge, Tuticorin on 11.10.2018. Questioning the said exparte interim orders, the respondents filed CRP (NPD)(MD)Nos.2429 to 2432 of 2018.

(3.) The said civil revision petitions were allowed on 31.10.2018 and the Principal District Judge, Tuticorin was directed to dispose of the said Arbitration OP before a certain date. Thereafter, the respondents issued another tender notice dated 15.11.2018. According to the petitioner, the object of the respondents is to keep out the petitioner from the tender process besides infringing their rights under the contract. According to the petitioner, the respondents being government undertakings are acting in an arbitrary and unreasonable manner. Hence, the petitioner filed this writ petition questioning the tender notice dated 15.11.2018 issued by the first respondent and for certain consequential reliefs. The writ petition was filed on 28.11.2018. Interim stay was granted in WMP(MD)No.21563 of 2018 on 29.11.2018. The said interim order has been periodically extended.