NAFIS KHAN Vs. TATA MOTORS FINANCE LTD

JUDGEMENT

(1.) This post-award application under Sec. 9 of the Arbitration and Conciliation Act, 1996 (in short "the Act of 1996") is at the instance of the respondent in the arbitral proceeding, whom the arbitrator directed to pay Rs.7,89,652/- to the claimants, the respondent herein. Admittedly, in terms of an agreement between the parties, which also contains an arbitration agreement, the petitioner obtained loan for purchasing a vehicle which was hypothecated in favour of the respondent. In this application the petitioner has prayed for orders directing release of the vehicle from the custody of the respondent and to allow him to run the said vehicle.

(2.) At the very outset of the hearing of this application, a strong objection was raised on behalf of the respondent with regard to the maintainability of this application. It was contended that the arbitral tribunal passed the award against the petitioner on April 15, 2014 which has not been challenged by the petitioner. It was further submitted that an earlier application filed by the petitioner under Sec. 9 of the Act of 1996, being AP No.1541 of 2015 was rejected by a learned Single Judge of this Court on the ground that in spite of opportunities being granted to the petitioner, he defaulted to pay the admitted principal due of the respondent, the financier with whom the vehicle was hypothecated. For all these reasons, according to the petitioner, this application by the petitioner praying for the aforementioned reliefs is not maintainable.

(3.) On the other hand, it was submitted by the petitioner that in terms of the orders passed by a learned Single Judge of this Court in the said application, AP No.1541 of 2015 the respondent returned possession of the vehicle in question to him but subsequently, in utter disregard of the order dated March 29, 2017 passed by a learned Single Judge in the said application, the respondent has illegally and without taking recourse to law took possession of the said vehicle. It was submitted by the petitioner that the present application is well maintainable.