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2022 (7) TMI 1560

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..... iose or superfluous. If it is held that a supplier engaged in selling goods produced by micro or small enterprise and rendering services which are provided by such enterprise cannot invoke the forum provided under section 18 of the Act, 2006, then, it would be doing violence to section 2(n) read with section 17 and 18(1) of the Act, 2006. Reading the provision of section 2(n)(iii), section 17 and 18(1) harmoniously the only irresistible conclusion that can be drawn is that the enterprise other than the Micro and Small Enterprise may also be entitled to take recourse to section 18 of the Act, 2006. Provided, it is a supplier of the goods produced by the micro or small enterprise and rendering service which are provided by such enterprises. T .....

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..... off.
HON'BLE S.V. GANGAPURWALA & SANDEEP V. MARNE, JJ. Mr. Alankar Kirpekar a/w Mr. Sagar Kasar for the Petitioner Mr. Pradeep S. Jetly, Sr. Counsel a/w Mr. Jitendra Mishra and Ms. Sangeeta Yadav for Respondent no.1 Mr. Amol Wagh a/w Ms. Chaitali Bhogle for Respondent no.4 JUDGMENT: (PER: S.V.GANGAPURWALA, J.) : 1 Rule. Rule made returnable forthwith. By consent of the parties, matter is taken up for final disposal. 2 The Petitioner is a Company registered under the Companies Act. It is a Medium Enterprise. The Petitioner had filed an Application referable to section 18 of the Micro, Small and Medium Enterprises Development Act, 2006 (Act, 2006) against the present Respondent no.4 for payment of the amount. Request was made that .....

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..... ro or small enterprise, which has filed a memorandum with the authority referred to in sub- section (1) of section 8, and includes,-- (i) …… (ii)…... (iii) any company, co-operative society, trust or a body, by whatever name called, registered or constituted under any law for the time being in force and engaged in selling goods produced by micro or small enterprises and rendering services which are provided by such enterprises; Section 17: Recovery of amount due. --For any goods supplied or services rendered by the supplier, the buyer shall be liable to pay the amount with interest thereon as provided under section 16. Section 18 : 1) Notwithstanding anything contained in any other law for the time .....

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..... section in a dispute between the supplier located within its jurisdiction and a buyer located anywhere in India. 5) Every reference made under this section shall be decided within a period of ninety days from the date of making such a reference." 7 It is not disputed that the Petitioner is a Medium Enterprise and the Respondent no.4 is a small enterprise. 8 The substratum of the matter is whether the Petitioner being a medium enterprise could have invoked jurisdiction of the Council under section 18 of the Act, 2006. 9 The definition of supplier is an inclusive definition. Clause (iii) of the section 2(n) of the Act, 2006 would be relevant for our consideration. According to the said definition, the terminology "supplier" would take .....

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..... tion Council. 10 Literal interpretation of these rules is unambiguous and would not admit of any ambiguity. Section 2(n)(iii), 17 and 18 of the Act, 2006 will have to be read harmoniously. The provisions in a statute cannot be read in a manner to render a particular provision otiose or superfluous. If it is held that a supplier engaged in selling goods produced by micro or small enterprise and rendering services which are provided by such enterprise cannot invoke the forum provided under section 18 of the Act, 2006, then, it would be doing violence to section 2(n) read with section 17 and 18(1) of the Act, 2006. Reading the provision of section 2(n)(iii), section 17 and 18(1) harmoniously the only irresistible conclusion that can be drawn .....

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..... e. Council shall consider the factual matrix of the case and if it comes to the conclusion that the Petitioner is a supplier of the goods produced by the micro or small enterprises and rendering services which are provided by such micro and small enterprise then consider the claim of the Petitioner on its own merits. The matter would be decided by the Council as per the speculation made under section 5 of section 18 of the Act, 2006. 15 The learned Counsel for the Petitioner submits that there is no facility of filing online application for enterprise of micro and small enterprise. Council may consider the said aspect of providing online Application for the supplier as defined under section 2(n) of the Act, 2006. Till then, the Application .....

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