ATUL RATIKANT SHAH Vs. SHEKHAR K SHAH

JUDGEMENT

(1.) THIS is an application under section 11 of the Arbitration and conciliation Act, 1996 (hereinafter referred to as "the said Act" ). The applicant and the respondent are Directors of XACA (India) Pvt. Ltd. , a Private Limited company registered under the Companies Act, 1956. When the proceeding was pending before the Company Law Board for adjudication, on 11-4-1997, the petitioner had entered into an arbitration agreement agreeing to refer all disputes to the sole arbitration of Mr. Milind S. Kothari. It appears that thereafter on 27-4-1998, the petitioner approached the company law board whereupon the Company Law Board passed the following order:

(2.) ON 11 -4-1997, a resolution was passed by the Board of Directors of the company whereby Mr. Milind S. Kothari was given sole authority to operate company's bank accounts as also to do all acts and to take decisions in terms of the agreement to resolve the matters pertaining to the activities of the company. On 30-4-1997, the applicant and the respondent jointly executed a power of attorney in favour of Mr. Milind S. Kothari to enable him to operate bank accounts of the said company as well as to recover all due from debtors as well as past and future sale proceeds.

(3.) THE sole arbitrator, Milind S. Kothari, entered into arbitration and passed an Award dated 30-12-1998. The said Award was challenged before this Court in arbitration Petition No. 124 of 1999. This Court by order dated 7-11-2001 set aside the said Award by giving reasons and making the following observations: