MOTILAL OSWAL SECURITIES LTD Vs. UTTAM CHAND GARG

JUDGEMENT

(1.) The PetitionerAppellant (Trading member) has challenged an Award dated 29th September, 2010, passed by the Appellate Tribunal in the matter of arbitration under Rules, Byelaws and Regulations of Bombay Stock Exchange Limited (hereinafter referred to "BSE") between the parties.

(2.) The Petitioner trading member has challenged Award dated 18th March, 2010, passed in the matter of an Arbitration Award under the Rules, Regulations and Byelaws of the BSE, whereby the claim of the Applicant was rejected and so also the counter claim of the Respondent (constituent). The Appellant initially withdrew Reference No.195 of 2009, as recorded in the minutes dated 25th July, 2009. The counter claim was also withdrawn. The Applicant, thereafter, filed a fresh reference application on 29th September, 2009 (Reference No.420 of 2009) Lower Bench of the Arbitral Tribunal dismissed the Appeal by holding that second application in view of the earlier unconditional withdrawal without any liberty, and also it is beyond limitation in view of Byelaws 252 (2). The Appellate Tribunal noted that the last transaction between the parties was on 7th July, 2008 and the reference was filed on 29th September, 2009. Therefore, it was beyond six months as per bye laws 252(2) and in view of the earlier unconditional withdrawal dismissed the Appeal.

(3.) The second reference was moved on the basis of a alleged transaction dated 27th July, 2009. The Respondent disputed the same and thereby objected the second reference filed by the Applicant and the Petitioner. The last admitted transaction was carried out on 14th February, 2008. However, earlier reference was withdrawn on 23rd July, 2009. The second reference was filed on 29th September, 2009, based upon the last transaction as recorded.