KEWAL SINGH MANN Vs. CHAIRMAN, PERMANENT LOK ADALAT

JUDGEMENT

(1.) Petitioner has approached this Court assailing order dtd. 11/7/2022, Annexure P-4, passed by the Permanent Lok Adalat (Public Utility Services), Bathinda (for short "Lok Adalat"), whereby an application filed by respondents No.2 and 3 under Sec. 8 of the Arbitration and Conciliation Act, 1996 (for short "Arbitration Act"), has been accepted.

(2.) A petition under sec. 22-C of the Legal Services Authorities Act, 1987 (for short "LSA Act") has been filed by petitioner stating he has taken a loan of Rs.6.50 lacs and deposited the original title deed of a plot. Loan amount was repayable in monthly instalments. Petitioner was made to sign on some forms and blank papers, but the terms and conditions of the loan agreement were never supplied to him. Petitioner claims to have deposited more than double the loan amount, but a huge amount is still shown to be outstanding. Upon notice, respondents No.2 and 3 appeared and filed a written statement contesting the petition. They filed an application dtd. 25/2/2021, Annexure P-2, for dismissal of the petition in view of arbitration clause. After contest, application has been allowed by Lok Adalat vide order impugned herein.

(3.) By making a reference to Sec. 8 of Arbitration Act, counsel for the petitioner has contended that as the application has been moved after the filing of the written statement, it is not maintainable. Reliance has been placed by him upon Inter Globe Aviation Ltd. Versus N. Satchidanand, (2011) 7 SCC 463 to urge that Lok Adalat is not a "court" and provisions of LSA Act will not apply.