KAYNET FINANCE LIMITED Vs. VERONA CAPITAL LIMITED

JUDGEMENT

(1.) By this petition filed under Section 34 of the Arbitration and Conciliation Act , 1996, the petitioner has impugned the arbitral award dated 18th April 2019 passed by the arbitral tribunal allowing one of the claims made by the respondent and directing the petitioner to pay a sum of Rs.17,52,47,517.10 with simple interest @12% from the date of default till payment and/or realization.

(2.) By the said arbitral award dated 18 th April 2019, the arbitral tribunal rejected other three claims made by the respondent. That part of the award is impugned by the respondent by filing an appeal before the National Stock Exchange of India Limited. The impugned award dated 18th April 2019, in so far as it allows the claims of the respondent to the extent of Rs.17,52,47,517.10 is concerned, is challenged only on two grounds.

(3.) The first ground urged before this Court by Mr.Sen, learned senior counsel for the petitioner is that the last transaction between the parties was on 18th February 2015. The respondent, however, alleged in the statement of claim that date of dispute arisen between the parties was on 17th December 2015 whereas the statement of claim was filed on 30th August 2018. He submits that the cause of action arises on the date of last transaction i.e. 18th February 2015 and thus the arbitral tribunal could not have taken the date of 17th December 2015 as cause of action as claimed by the respondent in the statement of claim. In support of this submission, learned senior counsel placed reliance on the judgment of this Court in the case of Avalon Investment Private Limited Vs. Mukesh Brokerage & Financial Limited, reported in 2012 SCC OnLine Bom 1022 and in particular paragraphs 15 to 20 thereof.