(Delivered by the Hon'ble Chief Justice) The vehicles which were hypothecated by the appellants in obtaining finance from the respondent were illegally parted with to a third party and there are admittedly defaults in payment of instalments. It is in these circumstances that the learned Single Judge vide the impugned order dated 23.12.2016 under Section 9 of the Arbitration and Conciliation Act, 1996 has directed securing of the vehicles to be retained by the financier till the final disposal of the application.
2. The learned counsel for the appellants seeks to contend that the third party has filed a civil suit in Karnataka, where there are some interim orders.
3. We fail to appreciate the plea for the reason that the financing was by the respondent to the appellants and the vehicles are hypothecated with the respondent. In the absence of payment of instalments, the respondent would be entitled to seize the same. The third party is not concerned with the transaction in question.
4. We find no reason to interfere with the impugned order.
5. The appeal is dismissed. No costs. Consequently, C.M.P.No.20601 of 2016 is closed.