LAKHAMRAJU SUJATHA Vs. YUVARAJ FINANCE PVT LTD

JUDGEMENT

(1.) This civil revision petition under Section 115 of Code of Civil Procedure, 1908 (CPC) is filed by the Judgment Debtor (J.Dr) against the order dated 30.7.2009 in E.A.No.157 of 2008 in E.P.No.26 of 2007 in A.A.No.66 of 1999.

(2.) A short but interesting question of law that falls for consideration in this revision petition is as to the jurisdiction of Additional District Judge to adjudicate the execution petition filed for enforcing the award passed by the arbitrator under the provisions of Arbitration and Conciliation Act, 1996.

(3.) The brief fact of the matter and background throwing up such question is as follows. The respondent is a company engaged in the business of financing motor vehicles. Petitioner availed a sum of Rs.6,15,000/- for purchase of a bus bearing Regn. No. KA 04- 6737. The amount was sanctioned. It is payable in 24 instalments @ Rs.36,000/- per month. Petitioner statedly paid a sum of Rs.76,895/- but committed default thereafter. On 05.3.1997, the bus met with an accident at Toopran village and was brought to Vijayawada for necessary repairs. As the petitioner expressed inability to get the bus repaired and put it on road, respondent got the bus repaired and sold the same in an auction. An amount of Rs.4,75,000/- was realized. For the balance amount, respondent invoked arbitration clause in the hire purchase agreement, in vain. Therefore, they approached the Court of District Judge for appointment of arbitrator. An arbitrator was appointed. An award was passed on 20.2.2002 for an amount of Rs.3,62,105/- with interest at 18% per annum payable by petitioner to respondent. Aggrieved by the same, petitioner filed an application under Section 34 of Arbitration Act being A.A.No.2 of 2006 on the file of the Court of District Judge, Rajahmundry. The same is pending.