NANDA KISHORE GOSWAMI Vs. BALLY CO-OPERATIVE CREDIT SOCIETY, LTD, REPRESENTED BY CHAIRMAN, KALIPADA MUKHERJEE

JUDGEMENT

(1.) These two analogous appeals arise out of two execution proceedings commenced by the Bally Cooperative Credit Society Limited who is the respondent before us, on the basis of two awards, obtained against the appellants in the two appeals under Rule 22 of the rules framed under Section 43, Co-operative Societies Act (2 of 1912). The judgment-debtors appellants raised certain objections to the execution proceedings and they were substantially of a two- fold character. In the first place, it was argued that in view of the provisions of Section 46, Arbitration Act, it was necessary for the co-operative credit society to get a judgment and decree upon the award under Section 17, Arbitration Act, before it could be enforced as a decree, and as the time for filing the award in Court had already elapsed in accordance with the provisions of Schedule 4 of the Act, the award was altogether unenforceable. The other contention was that the award was not a proper award inasmuch as the arbitrator had not finished the award within four months from the date when he entered on the reference as is necessary under para. 3 of Schedule 1, Arbitration Act.

(2.) The trial Court gave effect to both these contentions and dismissed the execution proceedings. On appeal, the judgment was reversed, and the judgment-debtors have now come up in second appeals to this Court. Mr. Banerjee who appears in support of the appeals has reiterated both the points which were put forward on behalf of his clients in the Courts below. To decide the points that have been raised in these appeals, it is necessary to advert first of all to the provisions of Section 46, Arbitration Act. That section extends with certain exceptions, the provisions of the Arbitration Act to what may be called statutory arbitrations unless the rules regulating the latter are inconsistent with those of the Arbitration Act. The section runs as follows: The provisions of this Act, except Sub-section (1) of Section 6 and Secs.7, 12 and 37 shall apply to every arbitration under any other enactment for the time being in force, as if the arbitration were pursuant to an arbitration agreement and as if that other enactment were an arbitration agreement, except in so far as this Act is inconsistent with that other enactment or with any rules made thereunder.

(3.) Now, Sub-rules (1) to (6) of Rule 22 as framed under Sec. 43, Co-operative Societies Act, lay down the mode of appointing arbitrators and the entire procedure that is to be followed down to the stage when the award becomes final and conclusive. Sub-rule (2) of the Rule empowers the Registrar to decide the dispute himself or he can appoint an arbitrator for the same purpose. He can also refer it to the arbitration of three persons of whom one shall be nominated by each of the parties and a third by the Registrar himself. The mode of taking evidence and the procedure to be adopted are laid down in sub-rules (3) and (4). Sub-rule (5) gives the aggrieved party a right of appeal against the award of the arbitrator or arbitrators, and the appeal is to be heard by the Registrar himself. In cases, where there is no appeal preferred against the award of the arbitrators and when the appeal has been filed and disposed of, the award shall be deemed to be final and conclusive. Sub-rule (7) then lays down that decisions and awards mentioned in Sub-rule (6) shall, on application to any civil Court having local jurisdiction, be enforceable in the same manner as a decree of such Court.