ASHOK SALES Vs. PURNA GASES

JUDGEMENT

(1.) BEING aggrieved by the order dated 23/1/2009 passed by VIII ADJ, (Fast Track), Ujjain in MJC No. 18/2008 whereby the application filed by the appellant under Section 34 of Arbitration and Conciliation Act, 1996 (which shall be referred hereinafter as "A & C Act") was dismissed the present appeal has been filed.

(2.) SHORT facts of the case are that an award was passed against the appellant on 22.03.2006 for payment of Rs.3,61,910/- against the said award an application was filed by the appellant under Section 34 of A & C Act. The application was opposed by respondent No. 1 on various grounds including on the ground that since the application is barred by time, therefore, application cannot be entertained. Another ground was taken that since the appellant has not deposited 75% of the awarded amount, therefore, also objections cannot be entertained. After hearing the parties, learned Court below passed the impugned order, wherein it was also observed that appellant has not deposited the requisite amount as per Rule 7 of Micro, Small and Medium Enterprises Development Act, 2006 against which the present appeal has been filed.

(3.) FROM perusal of record, it is evident that award was passed on 22/03/2006 and the same was dispatched on 24/04/2006 while objections were filed on 17/07/2006, therefore, on the face of it, it appears that objections were in time and the same could not have been dismissed on the ground that objections were barred by time. So far as other contention raised by the respondent No.1 relating to payment of 75% of the awarded amount is concerned, undisputedly the claim was filed by the respondent No.1 under Section 6(2) of the Interest on Delayed Payment To Small Scale and Ancillary Industrial Undertakings Act, 1993. Section 7 of the Interest on Delayed Payment To Small Scale and Ancillary Industrial Undertakings Act, 1993 deals with the appeal according to which no appeal against any decree, award or other order shall be entertained by any Court or other authority unless the appellant (not being a supplier) has deposited with it 75% of the amount in terms of the decree, award or, as the case may be, other order in the manner directed by such Court. As per Section 19 of the Micro, Small and Medium Enterprises Development Act, 2006 no application for setting aside any decree, award or other order made either by the Council itself or by any institution or center providing alternate dispute resolution services to which a reference is made by the Council, be entertained by any Court unless the applicant (not being a supplier) has deposited with it 75% of the amount in terms of the decree, award or, as the case may be the other order in the manner directed by such Court.