Tata Capital Housing Finance Ltd v. Mr. Arun Kumar & ANR.

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IN THE HIGH COURT OF DELHI AT NEW DELHI

+ ARB.P. 807/2025 & I.A. 13247/2025 TATA CAPITAL HOUSING FINANCE LTD .....Petitioner Through:

Ms.

Shobha Gupta, Ms.

Akshita Mishra, Ms. Simranjeet Kaur and Ms. Manasvi Negi, Advs.

versus MR. ARUN KUMAR & ANR.

.....Respondents Through:

Mr. Divyanshu Sarswat, Ms. Garima Chauhan, Mr.

Raj Srivastava, Mr.

Akash Chowdhary, Mr. Arnav Vats, Ms. Suchita Gautam, Ms. Vasundhra Kashmira, Advs.

CORAM:

HON'BLE MR. JUSTICE JASMEET SINGH

O R D E R

% 17.11.2025 1.

This is a petition filed under Section 11 of the Arbitration and Conciliation Act, 1996 seeking appointment of an Arbitrator for adjudication of disputes between the parties. 2.

The brief facts are that, the petitioner granted loan to the respondents of Rs. 23,71,000/- vide Sanction Letter dated 25.09.2016. To secure the repayment of the loan amount, respondents had mortgaged the property bearing No. Flat No. A-2-1301, 13th floor, Tower A, Status Residency, Village Tapukara, Alwar, Tijara Road, Tehsil Bhiwadi, Alwar Rajasthan-301019 ("Mortgage Property").

3.

Pursuant to the Sanction Letter, a Loan Agreement was also executed between the parties.

4.

The said Loan Agreement contains an arbitration clause being Clause The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.

No. 12.11, which is extracted below:- 5.

Since the loan account of the respondent was declared as NonPerforming Asset, proceedings under the provisions of Securitization and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 and a Demand Notice dated 11.09.2019 was issued to the respondents. After expiry of the statutory period mentioned under the Demand Notice, the petitioner took physical possession of the Mortgage Property. Subsequently, the Mortgaged Property was sold by way of public auction in a sum of Rs. 7,30,000/-. After adjusting the sale amount to the outstanding dues, the balance loss amount of Rs. 32,47,503/- is still due and outstanding.

6.

Since there are disputes between the parties, the petitioner invoked The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.

arbitration vide legal notice dated 30.09.2024, and thereafter, filed the present petition.

7.

Ms. Chauhan, learned counsel appears for the respondents and have no objection to appointment of an Arbitrator.

8.

I am satisfied that there exist a valid arbitration clause and dispute between the parties which need to be adjudicated through the arbitral mechanism.

9.

For the said reasons, the petition is allowed and the following directions are issued:- i) Mr. Varun Nischal, Advocate (Mob. No. 9811499378) is appointed as a Sole Arbitrator to adjudicate the disputes between the parties.

ii) The arbitration will be held under the aegis and rules of the Delhi International Arbitration Centre, Delhi High Court, Sher Shah Road, New Delhi (hereinafter, referred to as the 'DIAC').

iii) The remuneration of the learned Arbitrator shall be in terms of DIAC (Administrative Cost and Arbitrators' Fees) Rules, 2018.

iv) The learned Arbitrator is requested to furnish a declaration in terms of Section 12 of the Act prior to entering into the reference.

v) It is made clear that all the rights and contentions of the parties, including as to the arbitrability of any of the claim, any other preliminary objection, as well as claims/counter-claims and merits of the dispute of either of the parties, are left open The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.

for adjudication by the learned Arbitrator.

10. However, since the respondents are undergoing financial hardship and the respondents want to try and settle the matter through mediation and the petitioner has no objection to the same, the matter is referred to the Delhi High Court Mediation and Conciliation Centre and the parties shall appear on 28.11.2025, at 4:30 p.m.

11. The Arbitrator appointed by this Court today shall enter reference after 12 weeks from 28.11.2025, to enable the parties to arrive at an amicable settlement. Only in case the settlement is not arrived at, the learned Arbitrator will enter reference.

12. Accordingly, the present petition is disposed of with pending applications, if any.

JASMEET SINGH, J NOVEMBER 17, 2025 / (MS) The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.