The Chief Manager v. The Sub Registrar

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED : 02.01.2024

CORAM:

THE HONOURABLE MR.JUSTICE D.KRISHNAKUMAR and THE HONOURABLE MR.JUSTICE R.VIJAYAKUMAR The Chief Manager, Circle Sastra, Panjab National Bank, PNB House, BHEL Complex, Kalasapuram, Tanjavur Road, Trichy.

... Petitioner -vs1.The Sub Registrar, Joint No.IV, Palanganatham, Madurai.

2.Shriram Transport Finance Ltd., No.74, ADR Towers, 3rd Floor, P.P.Road, Kalavasal, Madurai - 06.

... Respondents PRAYER: Petition filed under Article 226 of the Constitution of India, praying to issue a Writ of Certiorarifed Mandamus, to call for the file relating to the arbitration O.P. in Case No.L.No.11/2020 and quash the orders of Attachment before Judgment passed by the sole arbitrator on 22.02.2020 and in consequence thereof.

For Petitioner :

Mr.S.Rengasamy For Respondents :

Mr.S.P.Maharajan, Special Government Pleader for R1 No appearance for R2

O R D E R

[Order of the Court was made by D.KRISHNAKUMAR, J.] The Writ Petition has been filed challenging the order of attachment before judgment passed by the Arbitrator in arbitration O.P. in L.No.11 of 2020.

2. The Writ Petition has been filed by the bank by contending that proceedings was initiated by the petitioner bank under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002 and Demand Notice was issued under Section 13(2) on 04.02.2020 and possession of the property was taken on 21.01.2021. Pursuant to completion of the sale proceedings, when the petitioner approached the Sub-Registrar Office to register the sale certificate, the same came to be rejected for the reason that Shriram Transport Finance Ltd., has already registered the order of attachment before judgment passed by the Arbitrary in arbitration O.P. in No.L.No.11 of

2020. According to the petitioner, the order passed by the Arbitrator is malafide and is without jurisdiction.

3. We have gone through the provisions of the Arbitration and Conciliation Act, 1996 and Section 37 of the Act clearly states that as against the order passed under Section 9 of the Arbitration and Conciliation Act, 1996, remedy is available under Section 37 of the Act. Even though the petitioner was not a party before the Arbitration Proceedings, if it is aggrieved by the order, it can very well approach the appropriate forum under Section 37 of the Act. Therefore, we are of the view that the present Writ Petition cannot be entertained.

4. Accordingly, the Writ Petition is dismissed with liberty to the petitioner to approach appropriate forum under Section 37 of the Arbitration and Conciliation Act, 1996, within a period of four weeks from the date of receipt of a copy of this order. No costs.

[D.K.K., J.] [R.V., J.] 02.01.2024 Index : Yes / No Internet : Yes / No SJ

D.KRISHNAKUMAR , J.

and R.VIJAYAKUMAR, J.

SJ 1.The Sub Registrar, Joint No.IV, Palanganatham, Madurai.

02.01.2024