Dismissal of Transfer Petition May Not Operate as Res Judicata if Fresh Petition is filed on Change of Circumstances
The Supreme Court held that a dismissal of a petition for transfer, may not operate as res judicata, when a fresh petition is filed on change of circumstances. - The court took note of the stage of the proceedings before the Family Court and said that when a case is at its final stage, the Court will be extremely reluctant to order the transfer, as it may derail the entire process. Though it rejected the prayer to Transfer the case, the court issued following directives: the Petitioner is permitted to move an application for reopening of her evidence before the...
DISMISSAL OF MISCELLANEOUS APPLICATION SEEKING RECALL/ MODIFICATION OF JUDGMENT DOES NOT EXTINGUISH RIGHT TO FILE REVIEW PETITION: SUPREME COURT
The Division bench comprising of Justices Ashok Bhushan and Indu Malhotra at the Supreme Court, in the matter of RajendraKhare v. SwaatiNirkhi held that Dismissal of an application for recall of a judgment does not take away the right to file review petition against the judgment. Review is a proceeding, which exists by virtue of the Statute, the Court underscored, and rejection of a miscellaneous application (MA) for recall of judgment will not take away the right of the review petitioner to file review under Order XLVII Rule 1 of the Supreme Court Rules of 2013. The review petitioner was...
IN CASE OF DOUBT OVER EXISTENCE OF VALID ARBITRATION AGREEMENT, DISPUTE MUST BE SENT TO ARBITRATION: DELHI HIGH COURT
The Delhi High Court in the matter of Knowledge Podium Systems v. SM Professional Services, held that in case there is a doubt over the existence of a valid arbitration agreement, the dispute must be sent to arbitration. When there is doubt with respect to such non-existence, the court has to refer the matter to arbitration, the High Court ruled. The order was passed by a single-judge Bench of Justice Jayant Nath while dealing with a suit for recovery of Rs. 2.5 crore in connection with a lease deed between the plaintiff and the defendant. The defendant leased a property...
WHETHER THE NON-PAYMENT OF RENT WOULD QUALIFY AS AN OPERATIONAL DEBT WITHIN THE MEANING OF SECTION 5(21) UNDER INSOLVENCY AND BANKRUPTCY CODE 2016
In this case, M.Ravindranath Reddy v. G.Kishan&Ors ., the landlord filed the Application under Section 9 of Insolvency and Bankruptcy Code, 2016, which was dismissed by the Adjudicating Authority on ground that dues in the nature of rent of immovable property do not fall under the head of Operational Debt as defined under Section 5 (21) of IBC. The NCLAT upheld this order of the Adjudicating Authority referring to its earlier judgment. In appeal, the appellant contended that there are two conflicting decisions of NCLAT on the issue and that, in the present case, the demand was both in respect...
Issuance of a Red Corner Notice in connection with an alleged crime committed by an Indian national
A Red Notice was issued by INTERPOL against our client in connection with a criminal case initiated outside India. A Red Corner notice sought the location and arrest of the person named in the notice for prosecution or serving a sentence.
We examined the issued notice and discerned technical errors. The objective was to get the notice deleted since it was not connected to ongoing disputes concerning our client. We also made a case that the jurisdiction exercised by the complainant was illegal and bad in law. The strategy was to challenge the issuance of notice before INTERPOL in their foreign jurisdiction rather than recourse to Indian authorities. We were successful in getting the notice quashed and deleted from the INTERPOL database within the shortest time possible based upon our findings and advice.
Calcutta High Court; wilful defaulter committees of banks
Wilful default by the promoter / director of a company
Our client, a renowned businessman and industrialist, was the promoter of a company that availed of financial assistance from various banks and financial institutions. The Company defaulted in loan repayment. One bank issued a showcause notice declaring our client as a wilful defaulter on the alleged ground of funds diversion, among others.
We challenged the showcause notice on the grounds of natural justice. We made out a representation challenging the classification of our client as a wilful defaulter. The issuance of notice was held to be without jurisdiction by the Hon’ble Single Bench of the Calcutta High Court.
Calcutta High Court
Execution of a foreign arbitral award before the Indian court
Our client, an Indian conglomerate, suffered an award from a foreign arbitral tribunal, which came up for execution before the Hon’ble High Court in Calcutta. We were engaged for defending our client and their Directors in the execution proceedings.
We examined the award in detail and advised to contest the award and simultaneously pursued for an out-of-court settlement. The strategies resulted in the matter being settled out-of-court without any coercive action taken against the company or its Director. The office premises, sealed on the basis of an ex parte order, was unsealed. The decree was satisfied with the settlement amount and the party parted ways on a happy note. This resulted in a settlement of the dispute by paying an amount less than the amount awarded by the foreign arbitral tribunal resulting in client benefit within the shortest possible time, which could have lingered around in the court for years at a large cost implication.
Calcutta High Court; Delhi High Court
Participation of absconding director in an ongoing investigation to safeguard the interest of the company.
Our client, a financial institution who had advanced facility to a company, had initiated proceedings against the company in New Delhi. As a result of such proceedings criminal case was filed and warrants were issued against the absconder directors. Delhi Police raided the premises of the company and arrested the absconder director at Kolkata. However, the director was granted bail within a fraction of hours. Case was filed against Delhi police in Kolkata by the company and its directors.
We were engaged by the financial institution with the mandate that they wanted an out of court settlement and recovery.Strategies were decided and implemented by us to the effect that the absconder director that was granted bail participates in investigation in Delhi before the Delhi police and approaches our client for settlement. As a result of our combined commercial and litigation strategy within a span of 8-10 weeks the settlement was arrived, and we could deliver what was expected by the client.