IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 20TH DAY OF SEPTEMBER, 2017 PRESENT THE HON'BLE MR. JUSTICE JAYANT PATEL AND THE HON’BLE MR. JUSTICE B.A. PATIL M.F.A. NO. 5987 OF 2016 (AA) C/W M.FA.NO.5988 OF 2016(AA), M.F.A.NO.5989 OF 2016(AA) M.F.A.NO.6880 OF 2016(AA), M.F.A.NO.6881 OF 2016(AA) AND M.F.A.NO.6882 OF 2016(AA) IN M.F.A. NO.5987 OF 2016 BETWEEN:
1. MR. C. R. GOPALA KRISHNA AGED ABOUT 60 YEARS, S/O. LATE C. S. RAMA SETTY, PARTNER OF M/S. R.K. VENTURES, R/A NO. 751, 5TH CROSS, BSK 1ST STAGE, 2ND BLOCK, 10TH MAIN, BANGALORE-560 050.
2. MR. C. G. GURUCHARAN, AGED ABOUT 35 YEARS, S/O. C. R. GOPALKRISHNA, PARTNER OF M/S. R. K. VENTURES, R/A NO. 751, 5TH CROSS, BSK 1ST STAGE, 2ND BLOCK, 10TH MAIN, BANGALORE-560 050.
... APPELLANTS (BY SRI. R. ABHINAV, ADV.) AND:
1. M/S. R. K. VENTURES R/AT NO. 60/82, KRISHNA CEDAR MODEL HOUSE STREET BASAVANAGUDI, BANGALORE - 560 004 REPRESENTED BY ITS PARTNERS AND MANAGING PARTNER MR. R KASHINATH.
2. SRI. R. KASHINATH PARTNER OF M/S. R.K. VENTURES S/O. LATE N. S. RAJAGOPAL, AGED ABOUT 58 YEARS, R/A NO.22/2, RATNA VILAS ROAD, BASAVANAGUDI, BANGALORE - 560 004.
SRI. RAMKIRAN C. G.
S/O. C. R. GOPALKRISHNA, SINCE DECEASED REPRESENTED BY LR 3. SMT. SHASHIKALA AGED ABOUT 55 YEARS, W/O. C. R. GOPALKRISHNA, R/AT NO. 751, 5TH CROSS, II BLOCK, BANASHANKARI I STAGE, BANGALORE - 560 050.
4. MISS. PRIYANKA KASHINATH AGED ABOUT 25 YEARS, PARTNER OF M/S. VENTURES D/O. R. KASHINATH, R/AT NO. 22/2, RATNA VILAS ROAD, BASAVANAGUDI, BANGALORE - 560 004.
5. SMT. SHALINI RAMKIRAN AGED ABOUT 29 YEARS, PARTNER OF M/S. R. K. VENTURES W/O. LATE RAMKIRAN C. G.
R/AT NO. 22/2, RATNA VILAS ROAD, BASAVANAGUDI, BANGALORE - 560 004.
6. SMT. VATSALA S KUMAR AGED ABOUT 50 YEARS, PARTNER OF M/S R. K. VENTURES W/O. A T SANATH KUMAR, R/AT NO. 22/2, RATNA VILAS ROAD, BASAVANAGUDI, BANGALORE - 560 004.
7. SRI RAJESH AGED ABOUT 40 YEARS, S/O. M. N. SRIRAMACHANDRA, PARTNER OF M/S. R. K. VENTURES, R/AT NO. 16, KANAKPURA ROAD, BASAVANAGUDI, BANGALORE - 560 004.
8. SRI. KASHINATH M. R. AGED ABOUT 47 YEARS, S/O. M. N. RADHAKRISHNA, PARTNER OF M/S. R. K. VENTURES, R/AT NO. 16, KANAKPURA ROAD, BASAVANAGUDI, BANGALORE - 560 004.
9. SMT. K. ARUNA SUNIL, AGED ABOUT 37 YEARS, W/O. K. N. SUNIL, PARTNER OF M/S. R. K. VENTURES, NO. 359, 12 CROSS, 7TH MAIN, 2ND BLOCK, JAYANAGAR, BANGALORE - 560 011.
10. SRI. RAGHUPATHI HEGDE, AGED ABOUT 41 YEARS, S/O. SHANTHARAM SITHARAM HEGDE, PARTNER OF M/S. R.K. VENTURES, NO.55, 2ND CROSS, VRUSHBAVATI NGEF LAYOUT, NAGRABHAVI, BANGALORE - 560 072.
11. SMT. RAKSHA VARDHAN AGED ABOUT 27 YEARS, W/O. P. VIJAY VARDHAN PARTNER OF M/S. R.K. VENTURES, NO. 2368, 19TH CROSS, K. R. ROAD, BSK II STAGE, BANGALORE - 560 070.
12. SMT. RADHIKA SRINATH, AGED ABOUT 44 YEARS, S/O SRINATH BABU, PARTNER OF M/S. R.K. VENTURES, NO. 826, SRINVASA, 21ST CROSS, IDEALS HOMES RAJARAJESHWARI NAGARA, BANGALORE - 560 098.
13. SRI. C. P. SARATH AGED ABOUT 41 YEARS, S/O LATE PRASANNA KUMAR, PARTNER OF M/S. R.K. VENTURES NO. 407D, OPP RAMAKRISHAN ASHRAM SOUTHERN EXTN., KOLLEGAL - 571 440.
14. SMT. P DEEPASHREE KAILASH AGED ABOUT 28 YEARS, W/O. P. S. KAILASH, PARTNER OF M/S. R.K. VENTURES R/O NO.3, MAKKALA BASAVANNA TEMPLE STREET CHIKPETE, BANGALORE - 560 002.
... RESPONDENTS (BY SRI. V.S. RAGHAVAN & P. CHINNAPPA, ADV.) THIS M.F.A. IS FILED UNDER SECTION 37(1)(a) OF ARBITRATION AND CONCILIATION ACT, AGAINST THE ORDER DATED:20.07.2016 PASSED IN A.A.NO.47/2016 ON THE FILE OF THE V ADDL. CITY CIVIL JUDGE, BANGALORE, PARTLY ALLOLWING THE PETITION FILED UNDER SECTION 9 OF THE ARBITRATION AND CONCILIATION ACT.
IN M.F.A. NO.5988 OF 2016 BETWEEN:
MR. C. G. GURUCHARAN AGED ABOUT 35 YEARS, S/O C. R. GOPALKRISHNA PARTNER OF M/S R K ESTATES R/A NO.751, 5TH CROSS, BSK 1ST STAGE, 2ND BLOCK, 10TH MAIN, BANGALORE 560050.
... APPELLANT (BY SRI. R. ABHINAV, ADV.) AND:
1. M/S R K ESTATES R/A NO.60/82, KRISHNA CEDAR MODEL HOUSE STREET, BASAVANGUDI, BANGALORE-560004 REPRESENTED BY ITS PARTNERS & MANAGING PARTNER MR R KASHINATH 2. SRI R KASHINATH PARTNER OF MS R K VENTURES S/O LATE N S RAJAGOPAL AGED ABOUT 57 YEARS, R/A NO.22/2, RATNA VILAS ROAD, BAAVANGUDI BANGALORE -560004 3. SMT VIDYA R KASHINATH PARTNER OF M/S R K ESTATES W/O R KASHINATH AGED ABOUT 51 YEARS, R/A NO.22/2, RATNA VILAS ROAD, BAAVANGUDI BANGALORE -560004 4. SMT SHALINI RAMKIRAN PATNER O M/S R K ESTATES W/O LATE RAMKIRAN C G AGED ABOUT 29 YEARS, R/A NO.22/2, RATNA VILAS ROAD, BAAVANGUDI BANGALORE -560004 SRI RAMKIRAN C G S/O C R GOPALKRISHNA SINCE DECEASED REPRESENTED BY LR 5. SMT SHASHEEKALA W/O C R GOPALKRISHNA R/A NO.751, 5TH CROSS, II BLOCK BANASHANKAR I STAGE BANGALORE-560050 6. SRI P S KIRAN KUMAR PARTNER OF M/S R K ESTATES S/O P SATYANARAYANA GUPTHA AGED ABOUT 42 YEARS, R/A NO.140, 7TH MAIN, 4TH CROSS, JAYANAGAR 2ND BLOCK, BANGALORE-560011 7. SRI RAJESH M S PARTNER OF M/S R K ESTATES S/O LATE M N SRIRAMACHANDRA AGED ABOUT 38 YEARS, R/A NO.16, KANAKAPURA ROAD BASAVANGUDI, BANGALORE 560004 8. SRI UMESH K A PARTNER OF M/S R K ESTATES S/O K S ASHOK KUMAR AGED ABOUT 38 YEARS, R/A NO.344, MYSORE MAIN ROAD NEW GUDDADAHALLI, BANGALORE-560026 9. SMT ANITHA G PARTNER OF M/S R K ESTATES W/O GIRIDHAR S AGED ABOUT 50 YEARS, R/A NO.550/03, GARUTHMAN PARK BASAVANGUDI, BANGALORE 560004 10. SRI K S GOVINDA RAJU PARTNER OF M/S R K ESTATES S/O K SREERAMULU AGED ABOUT 54 YEARS, R/A NO.21, KANCHAGANGA, 9TH CROSS ASHOK NAGAR, BSK 1ST STAGE, BANGALORE-560050 11. SMT RADHAKAR PARTNER OF M/S R K ESTATES W/O SUDHAKAR P AGED ABOUT 54 YEARS, R/A NO.2368, 19TH CROSS, K R ROAD BSK 2ND STAGE, BANGALORE-560070 12. SRI DR A T SANATH KUMAR PARTNER OF M/S R K ESTATES S/O A S THARAKARAMASETTY AGED ABOUT 52 YEARS, R/A NO.7/1628, 4TH CROSS, SOUTHERN EXTENSION, KOLLEGAL 571440 13. SMT PUSHPA PARTNER OF M/S R K ESTATES W/O B S CHANDRA SHEKAR GUPTHA AGED ABOUT 67 YEARS, R/A NO.749, 15TH MAIN, 7TH CROSS SRINIVASANAGAR, BANGALORE-560050 14. SMT R KRISHNAKUMARI PARTNER OF M/S R K ESTATE W/O L RADHAKRISHNA SETTY, AGED ABOUT 62 YEARS, R/A NO.107, 10TH D MAIN ROAD, 1ST BLOCK, JAYANAGAR BANGALORE-560011 15. SMT P SUBHA SATISH PARTNER OF M/S R K ESTATES W/O P R SATISH AGED ABOUT 49 YEARS, R/A NO.2293, 21ST CROSS, K R ROAD BSK 2ND STAGE, BANGALORE-560070 16. SMT MEENA PRASAD PARTNER OF M/S R K ESTATES W/O SIVA PRASAD B AGED ABOUT 57 YEARS, R/A NO.492-B, 7TH CROSS, 7TH BLOCK WEST JAYANAGAR BANGALORE 560082 17. SRI G RAMESH KUMAR PARTNER OF M/S R K ESTATES S/O G SUBRAMANYAM AGED ABOUT 53 YEARS, R/A NO.279A, 16TH MAIN, 4TH T BLOCK, JAYANAGAR BANGALORE-560041 18. SMT T K LALITHA PARTNER OF M/S R K ESTATES W/O T R KASHINATH AGED ABOUT 61 YEARS, R/A NO.27/36, 1ST BLOCK, 2ND FLOOR, 3RD CROSS 10TH C MAIN, 1ST BLOCK JAYANAGAR BANGALORE-560011 19. SRI KODUR RAMAMURTHY PARTNER OF M/S R K ESTATES S/O LATE K SIVASARMA AGED ABOUT 67 YEARS, R/A NO.101/48, SANNIDHI ROAD, BASAVANAGUDI, BANGALORE-560004.
... RESPONDENTS (BY SRI. V.S. RAGHAVAN & P. CHINNAPPA, ADV. ) THIS M.F.A. IS FILED UNDER SECTION 37(1)(b) OF ARBITRATION AND CONCILIATION ACT, AGAINST THE ORDER DATED:20.07.2016 PASSED IN A.A.NO.48/2016 ON THE FILE OF THE V ADDL. CITY CIVIL JUDGE, BANGALORE, PARTLY ALLOLWING THE PETITION FILED UNDER SECTION 9 OF THE ARBITRATION AND CONCILIATION ACT, 1996.
IN M.F.A. NO.5989 OF 2016 BETWEEN:
1. MR. C. R. GOPALAKRISHNA AGED ABOUT 60 YEARS, S/O LATE C S RAMA SHETTY, PARTNER OF M/S R.K. FUTURISTIC HOMES R/AT NO. 751, 5TH CROSS BSK 1ST STAGE, 2ND BLOCK, 10TH MAIN, BANGALORE - 560 050.
2. MR. C G GURUCHARAN AGED ABOUT 35 YEARS, S/O C R GOPALKRISHNA PARTNER OF M/S R.K. FUTURISTIC HOMES R/AT NO. 751, 5TH CROSS BSK 1ST STAGE, 2ND BLOCK, 10TH MAIN, BANGALORE - 560 050.
(BY SRI. R. ABHINAV, ADV.) AND:
1. M/S. R K FUTURISTIC HOMES R/AT NO. 60/82, KRISHNA CEDAR MODEL HOUSE STREET ... APPELLANTS BASAVANGUDI, BANGALORE - 560 004 REPRESENTED BY ITS PARTNERS & MANAGING PARTNER MR. R KASHINATH.
2. SRI R. KASHINATH PARTNER OF M/S R K FUTURISTIC HOMES S/O LATE N S RAJAGOPAL AGED ABOUT 57 YEARS, R/AT NO. 22/2, RATNA VILAS ROAD, BASAVANGUDI, BANGALORE - 560 004.
SRI RAMKIRAN C G PARNTER OF M/S R K FUTURISTIC HOMES S/O C R GOPALKRISHNA SINCE DECEASED REPRESENTED BY LRS 3. SMT. SHASHEEKALA W/O C R GOPALKRISHNA R/AT NO. 751, 5TH CROSS, II BLOCK, BANASHNAKR I STAGE, BANGALORE - 560 050.
4. MISS PRIYANKA KASHINATH PARNTER OF M/S R K FUTURISTIC HOMES D/O KASHINATH, AGED ABOUT 29 YEARS, R/AT NO. 22/2, RATNA VILAS ROAD, BASAVANGUDI, BANGALORE - 560 004.
5. SMT. SHALINI RAMKIRAN PARNTER OF M/S R K FUTURISTIC HOMES W/O LATE RAMKIRAN C G R/AT NO. 22/2, RATNA VILAS ROAD, BASAVANGUDI, BANGALORE - 560 004.
6. SMT. VIDYA R KASHINATH PARNTER OF M/S R K FUTURISTIC HOMES W/O R KASHINATH, R/AT NO. 22/2, RATNA VILAS ROAD, BASAVANGUDI, BANGALORE - 560 004.
... RESPONDENTS (BY SRI. V.S. RAGHAVAN & P. CHINNAPPA ADV.) THIS M.F.A. IS FILED UNDER SECTION 37(1)(b) OF ARBITRATION AND CONCILIATION ACT, AGAINST THE ORDER DATED:20.07.2016 PASSED IN A.A.NO.50/2016 ON THE FILE OF THE V ADDL. CITY CIVIL JUDGE, BANGALORE, PARTLY ALLOLWING THE PETITION FILED UNDER SECTION 9 OF THE ARBITRATION AND CONCILIATION ACT,1996.
IN M.F.A. NO.6880 OF 2016 BETWEEN:
1. M/S R K VENTURES N.60/82, KRISHNA CEDAR MODEL HOUSE STREET, BASAVANAGUDI BANGALORE 560004 REPRESENTED BY MANAGING PARTNER MR R KASHINATH 2. MR R KASHINATH S/O LATE N.S. RAJAGOPAL MANAGING PARTNER OF M/S R K VENTURES AGE 57 YEARS, RESIDING AT NO.22/2, RATNA VILAS ROD, BASAVANAGUDI BANGALORE 560004 ... APPELLANTS (BY SRI. V.S. RAGHAVAN & P. CHINNAPPA, ADV.) AND:
1. MR. C R GOPALA KRISHNA S/O LATE C.S. RAMASETTY AGE 60 YEARS, NO.751, 5TH CROSS, BSK 1ST STAGE, 2ND BLOCK, 10TH MAIN, BANGALORE 560050 2. MR C G GURUCHARAN S/O C.R. GOPALA KRISHNA AGE 35 YEARS, 751, 5TH CROSS, BSK 1ST STAGE, 2ND BLOCK, 10TH MAIN, BANGALORE 560050 3. MS PRIYANKA KASHINATH PARTNER M/s. R.K. VENTURES, AGED ABOUT 25 YEARS, D/O R KASHINATH , 22/2, RATNA VILAS ROAD , BASAVANAGUDI, BANGALORE 560004 4. SMT SHALINIKASHINATH PARTNER M/s. R.K. VENTURES, AGED ABOUT 29 YEARS, 22/2, RATNA VILAS ROAD , BASAVANAGUDI, BANGALORE 560004 (FORMERLY AS SHALINI RAMKIRAN) 5. SMT VATSALA S KUMAR PARTNER M/s. R.K. VENTURES, AGED ABOUT 50 YEARS, W/O A T SANATH KUMAR 22/2, RATNA VILAS ROAD , BASAVANAGUDI, BANGALORE 560004 6. SRI RAJESH PARTNER M/s. R.K. VENTURES, AGED ABOUT 40 YEARS, S/O M N SRIRAMACHANDRA, NO.16, KANAKPURA ROAD BASAVANAGUDI, BANGALORE 560004 7. SRI KASHINATH M R PARTNER M/s. R.K. VENTURES, AGED ABOUT 47 YEARS, S/O M N SRIRAMACHANDRA, NO.16, KANAKPURA ROAD, BASAVANAGUDI, BANGALORE 560004 8. SMT K ARUNA SUNIL PARTNER M/s. R.K. VENTURES, AGED ABOUT 37 YEARS, W/O K N SUNIL, NO.359, 12TH CROSS, 7TH MAIN, 2ND BLOCK, JAYANAGAR, BANGALORE 560011 9. SRI RAGHUPATHIHEGDE PARTNER M/s. R.K. VENTURES, AGED ABOTU 41 YEARS, S/O SHANTHARAMSITHARAMHEGDE NO.55, 2ND CROSS, VRUSHBAVATINAGEF LAYOUT, NAGRABHAVI, BANGALORE 560072 10. SMT RAKSHAVARDHAN PARTNER M/s. R.K. VENTURES, AGED ABOUT 27 YEARS, W/O P VIJAY VARDHAN, NO.2368, 19TH CROSS, K R ROAD, BSK II STAGE BANGALORE 560070 11. SMT RADHIKA SRINATH PARTNER M/s. R.K. VENTURES, AGED ABOUT 44 YEARS, S/O SRINATHBABU, NO.826, SRINVASA, 21ST CROSS, IDEALS HOMES RAJARAJESHWARINAGARA BANGALORE 560098 12. SRI C P SARATH PARTNER M/s. R.K. VENTURES, AGED ABOUT 41 YEARS, S/O LATE PRASANNA KUMAR, NO.407D, OPP RAMAKRISHAN ASHRAM, SOUTHERN EXTN., KOLLEGAL 571440 13. SMT P DEEPASHREEKAILASH PARTNER M/s. R.K. VENTURES, AGED ABOUT 28 YEARS, W/O P S KAILASH, NO.3, MAKKALABASAVANNA TEMPLE STREET, CHIKPETE, BANGALORE 560002.
... RESPONDENTS (BY SRI. R. ABHINAV, ADV.) THIS M.F.A. IS FILED UNDER SECTION 37(1)(b) OF ARBITRATION AND CONCILIATION ACT, AGAINST THE ORDER DATED:20.07.2016 PASSED IN A.A.NO.47/2016 ON THE FILE OF THE V ADDL. CITY CIVIL JUDGE, BANGALORE, PARTLY ALLOLWING THE PETITION FILED UNDER SECTION 9 OF THE ARBITRATION AND CONCILIATION ACT,1996.
IN M.F.A. NO.6881 OF 2016 BETWEEN:
1. M/S R K ESTATES NO.60/82, KRISHNA CEDAR MODEL HOUSE STEET BASAVANAGUDI, BANGALORE 560004 REPRESENTED BY MANAGING PARTNER MR R KASHINATH 2. MR R KASHINATH S/O N.S. RAJAGOPAL MANAGING PARTNER OF M/S R K ESTATES AGE 57 YEARS, RESIDING AT NO.22/2, RATNA VILAS ROAD BASAVANAGUDI BANGALORE 560004.
... APPELLANTS (BY SRI. V.S. RAGHAVAN & P. CHINNAPPA, ADV. ) AND:
1. MR. C G GURUCHARAN PARTNER M/s R.K. ESTATES AGE 35 YEARS, S/O C R GOPALKRISHNA 751, 5TH CROSS, BSK 1ST STAGE 2ND BLOCK, 10TH MAIN BANGALORE 560050 2. SMT VIDYA R KASHINATH PARTNER M/s R.K. ESTATES W/O R KASHINATH AGED ABOUT 51 YEARS, NO.22/2, RATNA VILAS ROD BAAVANGUDI BANGALORE 560004 3. SMT SHALINI KASHINATH PARTNER M/s R.K. ESTATES AGE 29 YEARS, 22/2, RATNA VILAS ROAD, BASAVANAGUDI, BANGALORE 560004 (FORMERLY AS SHALINI RAMKIRAN) 4. SRI P.S. KIRANKUMAR, PARTNER OF M/S R K ESTATES S/O P. SATYANARAYANA GUPTHA AGED ABOUT 42 YEARS, NO.140, 7TH MAIN, 4TH CROSS, JAYANAGAR 2ND BLOCK, BANGALORE 560011 5. SRI RAJESH M S PARTNER M/s R.K. ESTATES AGED ABOUT 40 YEARS, S/O M N SRIRAMACHANDRA, NO.16, KANAKPURA ROAD BASAVANAGUDI, BANGALORE 560004 6. SRI UMESH K A PARTNER M/s R.K. ESTATES S/O K S ASHOK KUMR AGED ABOUT 38 YEARS, R/A NO.344, MYSORE MAIN ROAD, NEW GUDDADAHALLI, BANGALORE 560026 7. SMT ANITHA G PARTNER M/s R.K. ESTATES W/O GIRIDHAR S AGED ABOUT 50 YEARS, R/A NO.550/03, GARUTHMAN PARK, BASAVANGUDI, BANGALORE 56000 8. SRI K S GOVINDA RAJU PARTNER M/s R.K. ESTATES S/O. K SSREERAMULU, AGED ABOUT 54 YEARS, R/A NO.21, KANCHAGANGA, 9TH CROSS, ASHOK NAGAR, BSK 1ST STAGE, BANGALORE 560050 9. SMT RADHAKAR PARTNER M/s R.K. ESTATES W/O SUDHAKAR P AGED ABOUT 54 YEARS, R/A NO.2368, 19TH CROSS, K R ROAD, BSK 2ND STAGE, BANGALORE 560070 10. SRI DR A T SANATH KUMAR PARTNER M/s R.K. ESTATES S/O A S THARAKARAMASETTY AGED ABOUT 52 YEARS, R/A NO.7/1628,4TH CROSS SOUTHERN EXTENSION, KOLLEGAL 571440 CHAMARAJNAGAR.
11. SMT PUSHPA PARTNER M/s R.K. ESTATES W/O B S CHANDRA SHEKAR GUPTHA AGED ABOUT 67 YEARS, R/A NO.749,15TH MAIN, 7TH CROSS, SRINIVASANAGAR, BANGALORE 560050 12. SMT R KRISHNAKUMARI PARTNER M/s R.K. ESTATES W/O L RADHAKRISHNA SETTY, AGED ABOUT 62 YEARS, R/A NO.107, 10TH D MAIN ROAD, 1ST BLCK, JAYANAGAR BANGALORE 560011 13. SMT P SUBHA SATISH PARTNER M/s R.K. ESTATES W/O P R SATISH AGED ABOTU 49 YEARS, R/A NO.2293, 21ST CROSS, K R ROAD BSK 2ND STAGE BANGALORE 560070 14. SMT MEENA PRASAD PARTNER M/s R.K. ESTATES W/O SIVA PRASAD B AGED ABOUT 57 YEARS, R/A NO.492-B, 7TH CROSS, 7TH BLOCK WEST JAYANAGAR BANGALORE 560082 15. SRI G RAMESH KUMAR PARTNER M/s R.K. ESTATES S/O G SUBRAMANYAM AGED ABOUT 53 YEARS, R/A NO.279A, 16TH MAIN, 4TH T BLOCK, JAYANAGAR BANGALORE 560041 16. SMT T K LALITHA PARTNER M/s R.K. ESTATES W/O T R KASHINATH AGED ABOUT 61 YEARS, R/A NO.27/36, 1ST BLOCK, 2ND FLOOR, 3RD CROSS, 10TH C MAIN, 1ST BLOCK, JAYANAGAR BANGALORE 560011 17. SRI KODUR RAMAMURTH PARTNER M/s R.K. ESTATES S/O LATE K SIVASARMA AGED ABOUT 47 YEARS, R/A NO.101/48, SANNIDHI ROAD, BASAVANAGUDI, BANGALORE 560004 ... RESPONDENTS (BY SRI. R. ABHINAV, ADV.) THIS M.F.A. IS FILED UNDER SECTION 37(1)(b) OF ARBITRATION AND CONCILIATION ACT, AGAINST THE ORDER DATED:20.07.2016 PASSED IN A.A.NO.48/2016 ON THE FILE OF THE V ADDL. CITY CIVIL JUDGE, BANGALORE, PARTLY ALLOLWING THE PETITION FILED UNDER SECTION 9 OF THE ARBITRATION AND CONCILIATION ACT,1996.
IN M.F.A. NO.6882 OF 2016 BETWEEN:
1. R K FUTURISTIC HOMES NO.60/82, KRISHNA CEDAR MODEL HOUSE STREET, BASAVANAGUDI BANGALORE 560004 REPRESENTED BY MR. KASHINATH, MANAGING PARTNER.
2. MR R KASHINATH S/O N.S. RAJAGOPAL AGE 57 YEARS, MANAGING PARTNER OF R K FUTURISTIC HOMES R/A NO.22/2, RATNA VILAS ROAD, BASAVANAGUDI, BANGALORE 560004 ... APPELLANTS (BY SRI. V.S. RAGHAVAN & P. CHINNAPPA, , ADV.) AND:
1. MR. C R GOPALA KRISHNA S/O LATE C.S. RAMA SETTY, AGE 60 YEARS, PARTNER M/s R.K VENTURES, NO.751, 5TH CROSS, BSK 1ST STAGE, 2ND BLOCK, 10TH MAIN, BANGALORE 560050 2. MR C G GURUCHARAN AGE 35 YEARS, S/O MR C R GOPALA KRISHNA PARTNER M/s R.K VENTURES, R/A 751, 5TH CROSS, BSK 1ST STAGE, 2ND BLOCK, 10TH MAIN, BANGALORE 560050 3. MS PRIYANKA KASHINATH PARTNER M/s R.K FUTURISTIC HOMES, AGED ABOUT 25 YEARS, D/O R KASHINATH, 22/2, RATNA VILAS ROAD, BASAVANAGUDI, BANGALORE 560004 4. SMT SHALINIKASHINATH PARTNER M/s R.K FUTURISTIC HOMES, AGED ABOUT 29 YEARS, 22/2, RATNA VILAS ROAD, BASAVANAGUDI, BANGALORE 560004 (FORMERLY SHALINI RAMKIRAN) 5. SMT VIDYA R KASHINATH PARTNER M/S. FUTURISTIC HOMES, AGED MAJOR, W/O R KASHINATH R/A 22/2, RATNA VILAS ROAD BASAVANAGUDI, BANGALORE 560004 ... RESPONDENTS (BY SRI. ABHINAV R. ADV.) THIS M.F.A. IS FILED UNDER SECTION 37(1)(b) OF ARBITRATION AND CONCILIATION ACT, AGAINST THE ORDER DATED:20.07.2016 PASSED IN A.A.NO.50/2016 ON THE FILE OF THE V ADDL. CITY CIVIL JUDGE, BANGALORE, PARTLY ALLOLWING THE PETITION FILED UNDER SECTION 9 OF THE ARBITRATION AND CONCILIATION ACT,1996.
THESE APPEALS COMING ON FOR ORDERS, THIS DAY, JAYANT PATEL J, DELIVERED THE FOLLOWING:
JUDGMENT As common question arises in M.F.A.No.5987/2016,M.F.A.No.5988/2016,M.F.A.No.5989/ 2016, 6880/2016, M.F.A.No.6881/2016 and M.F.A.No.6882/2016, we have considered simultaneously.
2. M.F.A.No.5987/2016 as well as 5988/2016 arise from the order dated 20.7.2016 passed under Section 9 of the Arbitration and Conciliation Act, 1996, in Arbitration Application Nos.47/2016 and 48/2016, thereby the applications are allowed in part and consequently declared that the original petitioners are entitled to receive their respective share in the net profits of the respondent-Firm as provided in the partnership deed till the conclusion of the arbitration process.
3. Whereas, M.F.A.No.5989/2016 as well as M.F.A.No.6882/2016 arise from the order dated 20.7.2016 passed under Section 9 of the Arbitration and Conciliation Act, 1996, in Arbitration Application No.50/2016 whereby similar order as referred to herein above in the connected arbitration applications was passed.
4. As the learned counsel appearing for the respective parties are common, we have heard learned counsel appearing for the original petitioners in the present appeals Mr. R. Abhinav and V.S.Raghavan, learned counsel appearing for the original respondents in respective arbitration applications.
5. As such, there are three projects which are related to the original Arbitration Application Nos.47, 48 and 50 of 2016, but since there were three separate projects, separate applications were filed.
6. Learned counsel appearing for the original petitioners before the lower court contended that the trial court ought to have granted complete stay against transfer or alienation of the property, so that the award if any passed by the arbitrator may not remain as the paper award. Further, he submitted that if the properties are allowed to be transferred to unknown parties, nothing would be available to the original petitioners to recover the amount if any, if they succeed in the arbitration.
7. Whereas the learned counsel for the original respondents contended that the lower court ought to have dismissed the application and even the order to the extent of entitlement for the share in the profit ought not to have been passed. Mr. V.S. Raghavan, learned counsel for the original respondents contended that both sides are aggrieved by the orders passed by the trial court namely so far as the original petitioners are concerned to the extent of not granting stay against transfer or alienation of the property pending arbitration and so far as the original respondents are concerned for non-dismissal of the application.
8. After the matter was heard for some time, there were suggestions and counter suggestions. The undisputed position is that the matters are pending now before the arbitrator and the arbitrator is yet to conclude on the arbitration.
9. It may also be recorded that during the course of hearing learned counsel for the original respondents/appellants in MFA Nos.6881/2016 and 6882/2016 has submitted the memo for the tentative figure of the amount realized, tentative profits to be sold etc.
10. Both sides’ details are taken on record.
11. After suggestions and counter suggestions , learned counsel appearing for both sides under the instructions of their respective clients are on agreement on the following aspects.
i) The amount approximately Rs. 1,40,00,000/- (One Crore Forty Lakhs) lying in the bank account of Kotak Mahindra Bank of the appellant company i.e. R.K.Estate, shall be converted as FDR for a period of one year and six months by withdrawing the amount from the said bank account and the FDR shall be in Kotak Mahindra Bank. The original FDR shall be deposited with the Registrar General, High Court of Karnataka, within a period of four weeks from today.
ii) The property bearing flat No. 302 ad measures 2566 sq fts. of the project known as “ Ashoka Park Heights” for which the details has been given in M.F.A. No.6881/2016 shall also remain as security for the satisfaction of the award if any, passed by the arbitrator in the arbitration proceedings. The stipulation is that in the event the award is passed in favour of the original petitioner, after appropriation of the aforesaid amount of Rs.1,40,00,000/- plus accrued interest, is required to be recovered, pursuant to the said award passed by the arbitrator, the original petitioner shall be at liberty to sell the aforesaid flat for the satisfaction of the recoverable amount as per the award and the balance if any shall be required to be refunded by the original petitioner to the respondent No.1 –R.K. Estate.
iii) The flat shall remain as security in favour of the original petitioner until the arbitrator concludes the matter for passing of award or otherwise and without there being any express consent even by the original petitioner, possession of the flat as well as the ownership of the flat shall remain under full control and custody of the original petitioner subject to any order passed by the arbitrator at the time of conclusion of arbitration proceedings.
iv) The original petitioner as well as the original respondent No.1 represented through its Managing Partner Mr. R.Kashinath, shall file undertakings to the aforesaid effect on or before 6th October 2017 with this court. After the aforesaid undertakings are filed and the copies are served to the respective counsel appearing for the learned counsel appearing for the respective parties, the order shall operate.
v) After the aforesaid FDR is deposited with this court, and the appropriate declaration is filed in the present group of appeals, the original respondent No.1 through its partner shall be at liberty to dispose of the remaining property (except flat No.302 as referred earlier) in accordance with law. No stay order shall operate so far as disposal of the property on account of the pendency of arbitration proceedings and in view of the order passed by this court.
vi) The original petitioner shall be entitled to release unrecoverable amount by sale of the property during the mode of execution of the award.
12. The order of the lower court is modified in terms of the aforesaid consensus upon undertakings filed as referred earlier it would be on either side to take appropriate steps for compliance of the order.
13. The appeals are partly allowed to the aforesaid extent. No order as to costs.
(JAYANT PATEL) JUDGE (B.A.PATIL) JUDGE Msu Note:
As per the orders passed by Hon’ble the Chief Justice on 7.10.2017 in the Note Sheet, Hon’ble Sri Justice B.S.Patil is nominated for signing the unsigned order dated 20.09.2017 passed by the Hon’ble Sri Justice Jayant Patel and Hon’ble Sri Justice B.A.Patil in MFA NO.5987/2016 C/W. MFA NO.5988/2016 MFA NO.5989/2016, MFA NO.6880/2016, MFA NO.6881/2016 and MFA NO.6882/2016(AA) in the light of Rule 6(2) of the Karnataka High Court Rules, 1959, Chapter XVI and the decision of the Division Bench of this Court in the case of M/s.Gem Travels Vs.Syndicate Bank, reported in ILR 1995 KAR 3063.
Sd/- JUDGE Sd/- JUDGE