DINKARRAI LAKSHMIPRASAD Vs. YESHWANTRAI HARIPRASAD

JUDGEMENT

(1.) The applicant Dinkarrai Laxmiprasad prays that the agreement in writing dated 2 August, 1927 between him and the respondent Yeshwantrai referring matters in dispute between them to arbitration be filed in Court, and that an order of reference to the arbitrators appointed in accordance with the provisions of the said agreement or to such other arbitrator or arbitrators as the Court may deem fit be made, The application is made under Para. 17, Schedule 2, Civil P.C.

(2.) The material facts are that the applicant and the respondent carried on business in Bombay in the name of Y.H. Desai & Co., and were secretaries, treasurers and agents of the Barsi Spinning and Weaving Co. The applicant alleges that in December 1922, taking advantage of his absence from Bombay the respondent with the fraudulent intention of depriving the applicant of any benefit in the agency agreement and to secure the same for himself wrote to the company that Y.H. Desai & Co. resigned their position as secretaries and treasurers and agents from 31 December 1922. He further alleges that the respondent who was the ex-officio director of the company got a resolution passed in an extraordinary general meeting whereby the agency agreement was determined and the firm of Desai Sons & Co. was appointed as secretaries, treasurers and agents in place of Y.H. Desai & Co. According to the applicant this firm nominally consisted of the respondent's sons and two of his nominees, but really the respondent was the sole owner of the firm.

(3.) In August 1923, the applicant filed a suit being Suit 3579 of 1923 in this Court against the respondent for winding up of the partnership business of Y.H. Desai & Co. and for other consequential reliefs.