Research › Search › Judgment

High Court of Andhra Pradesh · body

2025 DAILYLAW 11484 (AP)

GUNTI NAGESWARA RAO v. KALPATHARUVU FINANCES

ARBAPPL/26/2023 · 2025-01-10

Dhiraj Singh Thakur

body2025

Judgment text

Extracted from the PDF above. The PDF is authoritative.

IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVA^^^JS^^ tr -o' FRIDAY, THE TENTH DAY OF JANUARY TWO THOUSAND AND TWENTY FIVE si 3 o IV PRESENT HONOURABLE SRI JUSTICE DHIRAJ SINGH THAKUR, CHIEF JUSTICE ARBITRATION APPLICATION No.26 of 2023 Between: 1. Gunti Nageswara Rao, S/o. Sadasivaiah, aged about 63 years, resident of H.No. 5-269/2, OR Colony Main Road, MV Narayanapuram, Chilakaluripet, Palnadu District. 2. Hima Sailusha, W/o. Abdul Razak, aged 36 years, presently residing USA Rep. by her sister Dr. Bindu Madhuri, W/o Dr. Goli Rajesh, aged 34 years, resident of H.No.5-269/2, CR Colony Main Road, MV Narayanapuram, Chilakaluripet, Palnadu District. 3. Dr. Bindu Madhuri, W/o. Dr. Goli Rajesh, aged 34 years, resident of H.No. 5-269/2, Chilakaluripet, Palnadu District. in CR Colony Main Road, MV Narayanapuram ...Applicants AND 1. Kalpatharuvu Finances, represented by its Mg. Partner, Lanka Raghu Rami Reddy, D.No. 4-420, NRT Centre, Chilakaluripet, Palnadu District 2. Lanka Raghu Rami Reddy, S/o. L. Lakshma Reddy, Managing Partner, R/o. 9-473/2, CR Colony 2'^^ lane, Chilakaluripet, Palnadu District. 3. Pattan Jaffar Khan, S/o. Khasimm Khan, Managing Partner, R/o. 13-52, Gurrala Chavadi, Chilakaluripet, Palnadu District. 4. Sankati Siva Parvathi, W/o. Sankati Subba Reddy, Managing Partner, R/o. 9-473/3,CR Colony 2"^^ lane, Chilakaluripet, Palnadu District. Kallam Ramireddy, S/o. Veera Reddy, Working partner, R/o. D. No.6-9- 24, 3'^'^ floor, Kalpataruvu House building 9/2, Arundelpet, Guntur, Andhra Pradesh. 5. 6. Sankati Subba Reddy, S/o. Pedda Venkata Reddy, Managing partner R/o. 9-473/3, CR Colony 2^^^ lane, Chilakaluripet, Palnadu District. Sankati Dinesh Reddy, S/o. Subba Reddy, Managing partner, R/o. 9- 473/3, CR Colony 2"^^ lane, Chilakaluripet, Palnadu District. 7. Sankati Lakshmi, W/o. Narisireddy, R/o. D.No. 2-14-414, 1®' Lane, Syamala Nagar, Guntur. 8. 9. Sankati Madhavi, W/o. Srinivasa Reddy, Working Partner, R/o. D.No. 3- 1-42/5, 3'^'^ lane Rajendra Nagar, Guntur. 10.Sankati Srinivasa Reddy, S/o. S. Pedda Venkata Reddy, Kalpataruvu Chits working partner, R/o. D.No.6-9-24, 3’’^ floor, Kalpataruvu House building 9/2, Arundelpet, Guntur, Andhra Pradesh. ll.Pattan Abida Begam, W/o. Pattan Jaffar Khan, 13-52, Gurrala Chavidi Chilakaluripet, Palnadu District. 12.Lanka Bhaskara Reddy, S/o L. Lakshma Reddy, R/o. Flat number 401 4'*^ floor, Divya Plaza Apartments, Mothi Nagar Chowrastha, near Donbosco School, Hyderabad. 13.Lanka Prasanna Lakshmi, W/o. Lanka Bhaskara Reddy, R/o. Flat number 401,4*^ floor, Divya Plaza Apartments, Mothi Nagar Chowrastha, near Donbosco School, Hyderabad. 14.Lanka Darga Devi, W/o. Lanka Raghu Rami Reddy, R/o. 9-473/2, CR Colony 2^"^ lane, Chilakaluripet, Palnadu District. ...Respondents Application filed under Sub-Section (5) of Section 11 of the Arbitration and Conciliation Act, 1996 R/w para (3)(i)(c) of Scheme for appointment of Arbitrators, 2006 for the aforesaid reasons stated in the accompanying affidavit the applicant therefore prays that this Honourable Court may be pleased to appoint an arbitrator for settlement of disputes between applicants on one hand and respondents on the other hand in respect of Kalpataravu Finances, Chilakaluripet, Guntur District. : Dr Sastry Jandhyala Counsel for the Respondents: Sri P.Prabhakar for Sri Ghanta Sridhar The Court made the following: Counsel for the Petitioners % 'll APHC010133412023 IN THE HIGH COURT OF ANDHRA PRADESH Sr.No:-io AT AMARAVATi [3441] Yii ■Jk-- ARBITRATION APPLICATION NO: 2S of 2023 Gunti Nageswara Rao and others ...Applicants Vs. Kalpatharuvu Finances and others ...Respondents Advocate for Applicants Advocate for Respondetiis Dr, Sastry Jandhyala Mr. P. Prabhakar for Mr. Ghanta Sridhar CORAM :THE CHIEF JUSTICE DHIRAJ SINGH THAKUR ■ 10th January 2025 DATE P C : The present Arbitration Application has been filed under Section of the Arbitration 11(5) and Conciliation Act, 1996, for appointment of an Arbitrator to adjudicate upon the disputes arising out of and in connection with the Partnership Deed, dated 01.04.2009 2. The disputes are stated to have arisen between the partners which are sought tc be resolved th.rouvgh the mechanism of arbitration envisaged in terms of clause 19 under; as was ' the Partnership Deed, which reads r-T as 19. Referring of Disputes to Arbitrators: That ali disputes and differences relating to (he partnership or its dissolution or arising out of this deed among the patties to this deed, or among their legal 2 HQ A.A.No.26of 2023 representatives, or among any of them and their respective legal representatives; whether during the subsistence of partnership or at any time thereafter, shall be referred to arbitration in accordance with the provisions of Indian Arbitration Act, 1940 or if any modifications therein and the decision or award given by the arbitrators shall be binding on all the patties hereto. ” 3. It is stated that a notice, dated 24.10.2022, was served upon the respondents invoking the arbitration clause and proposed the name of Mr. A. Radha Krishna, Retireo District Judge, to settle the disputes and differences between the parties which, however, was not agreed to by the respondents, who, in turn, suggested the name of Mr. Gabbiti Sivarama Krishna Prasad an Arbitrator, which too was not acceptable to the applicants. as Having failed to arrive at a consensus in regard to the choice of the arbitrator, the present application has been filed seeking the appointment of an Arbitrator to resolve the disputes. 4. 5. Learned counsel for the respondents does not dispute the existence of the arbitration clause in the agreement and only seeks that their rights be reserved to raise all possible objections to the claims / counter claims before the learned Arbitrator. Be that as it may, the present application is allowed. Justice G. Shyam Prasad, former Judge of the High Court of Andhra Pradesh, is appointed as an Arbitrator, who shall enter upon the reference and adjudicate upon the disputes arising out of and in connection with the Partnership Deed, 6. I 3 HG A.A.No.26of 2023 dated 01.04.2009, and render the Award within the statutory period. The question of arbitrability of the claims is left open to be decided by the learned Arbitrator. The parties shall be free to file detailed claims and counter-claims, before the learned Arbitrator. The learned Arbitrator shall also be entitled to claim the fee in consultation with the parties, keeping in view the provisions of the Fourth Schedule of the Arbitration and Conciliation Act, 1996. No costs. Pending miscellaneous applications, if any, shall stand closed. A copy of this order be communicated to the learned Arbitrator on the address mentioned herein belo’w; Justice G. Shyam Prasad, TEAK, Flat No.604, Raintree Apartments Nambur, Guntur, Andhra Pradesh. Ph# 8331044099 SD/- E. KAMESWARA RAO JOINT REGISTRAR // r SECTION OFFICER //TRUE COPY// To 1. Sri Justice G.Shyam Prasad, former Judge of the High Court of Andhra Pradesh, R/o.TEAK, Flat No.604, Raintree Apartments, Nambur, Guntur District, Andhra Pradesh. Mobile No:8331044099. (along with a copy of Arbitration Application Affidavit and all material papers filed along with Arbitration Application) 2. The Registrar (Judicial), High Court of Andhra Pradesh, Amaravathi. 3. One CC to Dr Sastry Jandhyala, Advocate [OPUC] 4. One CC to Sri Ghanta Sridhar, Advocate [OPUC] 5. Kalpatharuvu Finances, represented by its Mg. Partner, Lanka Raghu Rami Reddy, D.No. 4-420, NRT Centre, Chilakaluripet, Palnadu District. 6. Lanka Raghu Rami Reddy, S/o. L. Lakshma Reddy, Managing Partner, R/o. 9-473/2, CR Colony 2"^^ lane, Chilakaluripet, Palnadu District. 7. Rattan Jaffar Khan, S/o. Khasimm Khan, Managing Partner, R/o. 13-52, Gurrala Chavadi, Chilakaluripet, Palnadu District. 8. Sankati Siva Parvathi, W/o. Sankati Subba Reddy, Managing Partner, R/o. 9-473/3,CR Colony 2"^^ lane, Chilakaluripet, Palnadu District. 9. Kallam Ramireddy, S/o. Veera Reddy, Working partner, R/o. D. No.6-9- 24, 3’’^ floor, Kalpataruvu House building 9/2, Arundelpet, Guntur, Andhra Pradesh. 10. Sankati Subba Reddy, S/o. Pedda Venkata Reddy, Managing partner, R/o. 9-473/3, CR Colony 2""* lane, Chilakaluripet, Palnadu District. 11. Sankati Dinesh Reddy, S/o. Subba Reddy, Managing partner, R/o. 9- 473/3, CR Colony 2'^'^ lane, Chilakaluripet, Palnadu District. 12. Sankati Lakshmi, W/o. Narisireddy, R/o. D.No. 2-14-414, 1®* Lane, Syamala Nagar, Guntur. 13. Sankati Madhavi, W/o. Srinivasa Reddy, Working Partner, R/o. D.No. 3- 1-42/5, 3'"'^ lane Rajendra Nagar, Guntur. 14. Sankati Srinivasa Reddy, S/o. S. Pedda Venkata Reddy, Kalpataruvu Chits working partner, R/o. D.No.6-9-24, 3"'^ floor, Kalpataruvu House building 9/2, Arundelpet, Guntur, Andhra Pradesh. 15. Rattan Abida Begam, W/o. Rattan Jaffar Khan, 13-52, Gurrala Chavidi Chilakaluripet, Palnadu District. 16. Lanka Bhaskara Reddy, S/o L. Lakshma Reddy, R/o. Flat number 401, 4**" floor, Divya Plaza Apartments, Mothi Nagar Chowrastha, near Donbosco School, Hyderabad. 17. Lanka Prasanna Lakshmi, W/o. Lanka Bhaskara Reddy, R/o. Flat number 401,4‘^ floor, Divya Plaza Apartments, Mothi Nagar Chowrastha, near Donbosco School, Hyderabad. 18. Lanka Darga Devi, W/o. Lanka Raghu Rami Reddy, R/o. 9-473/2, CR Colony 2^^^ lane, Chilakaluripet, Palnadu District. 19. The Section Officer, O.S. Section, High Court of Andhra Pradesh at Amaravathi. 20. Three CD Copies TK TF HIGH COURT DATED:10/01/2025 ORDER ARBAPPL.No.26 of 2023 5 2 JAN 2025 "9 S' i^SPATCV^ ALLOWING THE ARBITRATION APPLICATION WITHOUT COSTS