Tax Management India. Com
Law and Practice  :  Digital eBook
Research is most exciting & rewarding
  TMI - Tax Management India. Com
Follow us:
  Facebook   Twitter   Linkedin   Telegram

TMI Blog

Home

2003 (10) TMI 406

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... nforce the decision (Annexure Nos. 13 and 15). 2. The factual scenario under which the instant writ petition arises is as follows : The petitioner No. 1 which is said to be a company duly incorporated under the Companies Act, 1956 and petitioner Nos. 2 and 3 being its Directors, with a view to promote a project to manufacture Gold Jewellery for domestic as well as for International Market in collaboration with M/s. SISMA SPA, Italy, approached the Bank of Baroda Narhi Branch, Lucknow for financial assistance in the nature of Foreign Currency Term Loan for import of plant and machinery and for allied purposes. To secure the said facilities the petitioners executed several documents with opposite party No. 1. Property belonging to the p .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... isdiction to adjudicate upon the matter. According to the petitioners, it was only Courts at London which had the jurisdiction to decide the matter. The Tribunal after hearing the parties vide judgment and order dated 31-3-2003 (Annexure No. 13) repelled the contention of the petitioners. It held that Courts in India at Lucknow had the jurisdiction to try this case. Being aggrieved against the said order the petitioners approached the Appellate Tribunal. The order dated 31-3-2003 was, however, not stayed and the appeal remained pending. The Tribunal proceeded to decide the case on merits. The opposite party No. 4 after hearing the parties and perusal of the record allowed the application preferred by the opposite party No. 1 and issued th .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... rary and is in contravention of clause 35(1) of the Facility Agreement. He further argued that a writ in the nature of certiorari as well as prohibition would lie and will be maintainable where there is a patent lack of jurisdiction. His submission is that since the Tribunal did not have the power to entertain and dwell upon the dispute referred to it, therefore, both the judgment and order dated 31-3-2003 as well as order dated 30-9-2003 are liable to be struck down. 7. Sri Alok Saxena in opposition drew the attention of this Court to section 20 of the Act which postulates that any person aggrieved by an order made, or deemed to have been made, by a Tribunal under this Act, may prefer an appeal to an Appellate Tribunal having jurisdi .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... determine any suit, action or proceedings, and to settle any disputes, which may arise out of or in connection with this Agreement (respectively "Proceedings" and "Disputes") and, for such purposes, irrevocably submits to the jurisdiction of such courts." 9. In A.B.C. Laminart (P.) Ltd. s case ( supra ), which has been relied upon and followed in Angile Insulations ( supra ), the principle laid down by the Apex Court was that where two or more Courts which can entertain the suit consequent upon a part of the cause of action having arisen there within, if the parties to the contract agreed to vest jurisdiction in such Courts to try the dispute which may arise between the parties, the agreement may not be opposed to public policy, b .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... medy would not be a bar for filing of the instant writ petition. In support of his argument he has also placed reliance upon Surya Dev Rai v. Ram Chander Rai 2003 Supreme Appeals Reporter (Civil) 708. The said decision explains the scope of writ of Certiorari . The said writ will issue when a Court has acted without jurisdiction or in excess of its jurisdiction. It may also issue if the Court, or Tribunal though competent has acted in flagrant disregard of the rules or procedure or in violation of the principles of natural justice. Since this court is of the opinion that opposite party No. 4 had the jurisdiction to decide the dispute, and no violation of any rule or procedure or any violation of principles of natural justice has been .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

 

 

 

 

Quick Updates:Latest Updates