Cholamandalam Investment And Finance Co Ltd v. Ramalingaiah P,

N.SATHISH KUMAR, J.

This application has been filed for interim measures for appointing receiver to seize the vehicle.

2. It is the case of the applicant that as per the loan agreement dated 20.08.2015, the respondent has availed a sum of Rs.4,56,000/-. As there was a default as per the contract, the matter was referred to arbitration and award has been passed on 01.12.2017. Hence, it is his contention that unless a receiver is appointed to take charge of the vehicle, there will be irreparable injury and the vehicle will be sold by the other side. Hence, it is prayed for appointment of a receiver.

3. Admittedly, an Award has been passed on 01.12.2017. Even before enforcement of the Award, the Court, in a fit case can grant interim Order. Admittedly, the dispute already culminated to an Award. In such view of the matter, if the vehicle is allowed to be sold by the respondent, the very right of the applicant will be defeated.

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4. Taking into consideration that the applicant has made out a prima facie case and balance of convenience is in favour of the applicant and if an interim Order is not passed, the applicant will be put to irreparable injury, Mr.Ravi T.J., Sr. Executive Legal, of the applicant company is appointed as a receiver to seize the vehicle covered under the contract which has culminated into the Award. This Order shall operate only for a period of 90 days from the date of receipt of a copy of this Order.

5. The receiver will be entitled to take possession of the vehicle from the respondent or their agents or any one in possession thereof. If necessary, the Receiver shall get police assistance and the Station House Officer of the concerned Police Station, within whose jurisdiction the vehicle is found, will render requisite assistance for this purpose.

6. As the learned counsel for the applicant would submit that an award of arbitration between the applicant and the respondent has been passed on 01.12.2017 in Arbitration Case. Such being the matter, in the event of seizure of vehicle and sale of the same by the receiver, amount realised shall be adjusted towards the award amount. This order of appointment shall be served on the respondent by the applicant before the receiver takes any action on the basis of this Order. Page No.2

7. Accordingly, this application is closed.

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N. SATHISH KUMAR, J.

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