The Rathi H/L Cis Ltd.. v. The Delhi State Cooperative Bank Ltd & ORS.

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IN THE HIGH COURT OF DELHI AT NEW DELHI

+ W.P.(C) 13748/2023 THE RATHI H/L CIS LTD.

..... Petitioner Through:

Mr. R. K. Bharani, Ms. Ananya Parashar, Mr. Sandip Chaudhary and Mr. Ashish Bharani, Advocates.

versus THE DELHI STATE COOPERATIVE BANK LTD & ORS.

..... Respondents Through:

Mr. Rajesh Srivastava, Advocate for R-1.

Mr.

Karn Bhardwaj, ASC for GNCTD with Mr. Shubham Singh and Mr. Rajat Gaba, Advocates for R4.

CORAM:

HON'BLE THE ACTING CHIEF JUSTICE HON'BLE MS. JUSTICE MANMEET PRITAM SINGH ARORA

O R D E R

% 23.04.2024 1.

The present writ petition has been filed by the Cooperative Society stating that the Respondent Bank has been illegally charging compound interest at the rate of 24% per annum.

2.

Learned counsel for the Petitioner states that interest being charged is contrary to Rule 71 of the Delhi Cooperative Society Rules, 2007 ('the DCS Rules, 2007').

3.

Per contra, learned counsel for the Respondent states that the interest is being charged at the rate of 15% compound interest in accordance with the award dated 18th September, 2010 passed by the learned Arbitrator. A photocopy of the award handed over by learned counsel for the Petitioner is taken on record.

The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 29/04/2024 at 12:41:28

4.

In rejoinder, learned counsel for the Petitioner states that the Petitioner has no objection to making payment in accordance with the rate stipulated in the arbitral award. He, however, states that the Respondent Bank is charging interest over and above the rate stipulated in the arbitral award.

5.

Learned counsel for the Respondent Bank disputes the said fact. 6.

This Court is of the view that the dispute raised by the parties cannot be adjudicated in a writ proceeding. In the opinion of this Court, such disputes should be raised by the Petitioner Society either before the Appellate Tribunal or before the Executing Court (Rule 152 of the DCS Rules, 2007) in accordance with law.

7.

With the aforesaid observation and liberty, the present writ petition is dismissed.

ACTING CHIEF JUSTICE MANMEET PRITAM SINGH ARORA, J APRIL 23, 2024/msh The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 29/04/2024 at 12:41:28