GANGA INFRATECH Vs. JOHARI LAND AND FINANCE

JUDGEMENT

(1.) Heard.

(2.) This order shall also govern the disposal of A.C. No.56 of 2023, considering the fact that M.P. No.1033 of 2023 has arisen out of an order passed on an application filed under Sec. 8 of the Act of 1996, i.e., for referring the parties to the arbitrator, whereas A.C. No.56 of 2023 has been filed for appointment of arbitrator. For the sake of convenience, the facts as narrated in M.P. No.1033/2023 are being taken into consideration.

(3.) This petition has been filed by the petitioners/defendants under Article 227 of the Constitution of India, against the order dtd. 2/2/2023, passed by the First Additional District Judge, Dewas, in Case No.RCSA-200/2022, whereby, an application filed by the petitioner under Sec. 8 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as the Act of 1996") for referring the parties to the arbitration, has been rejected by the Civil Court, on account of allegations of serious fraud pleaded by the plaintiff/respondent No.1. It was also held that since in the Civil Suit, apart from the plaintiff and defendant No.1 there are other defendants also, who are not the parties to the agreement dtd. 16/7/2020, they cannot be asked to enter into the arbitration proceedings.