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2025 DAILYLAW 19349 (AP)

HINDUSTAN PETROLEUM CORPORATION LIMITED v. BGR ENERGY SYSTEMS LIMITED

COMCA/27/2024 · 2025-02-12

Kiranmayee Mandava, Ninala Jayasurya

body2025

Judgment text

Extracted from the PDF above. The PDF is authoritative.

-w IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI WEDNESDAY, THE TWELFTH DAY OF FEBRUARY TWO THOUSAND AND TWENTY FIVE limj PRESENT I C HONOURABLE SRI JUSTICE NINALA JAYASURYA AND HONOURABLE SMT JUSTICE KIRANMAYEE MANDAVA COMMERCIAL COURT APPEAL No.27 of 2024 Between: Hindustan Petroleum Corporation Limited, Visakh Refinery, Rep by its authorized signatory and power of attorney holder. Executive director Pamidipati Veerabhadra Rao, S/o. P. Veeresalingam, Aged about 59 years, VRMP, Visakhapatnam. ...Appellant/Respondent AND BGR Energy Systems Limited, Rep by its authorized signatory , Office at 2'^^ floor - 433, Anna Salai, 2'^'^ Floor, Guna Complex, Teynampet, Chennai - 600018. ...Respondent/Petitioner Commercial Court Appeal filed under Section 37 of Arbitration and Conciliation Act 1996 R/w Section 13 of the Commercial Courts, Commercial Division and Commercial Appellate Division of High Courts Act, 2015 aggrieved by the Decree and Order dated 10-05-2024 passed in CA.OP No. 19 of 2024 of the Hon'ble Special Judge for Trial and Disposal of Commercial Disputes at Visakhapatnam, Visakhapatnam District. Counsel for the Appellant : SRI SREEKANTH REDDY AMBATI Counsel for the Respondent : SRI T V P SAI VIHARI The Court made the following: ORDER APHC010270742024 IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI (Special Original Jurisdiction) SMB [3503] WEDNESDAY, THE TWELFTH DAY OF FEBRUARY TWO THOUSAND AND TWENTY FIVE PRESENT THE HONOURABLE SRI JUSTICE NINALA JAYASURYA AND THE HONOURABLE SMT JUSTICE KIRANMAYEE MANDAVA COMMERCIAL COURT APPEAL No.27 of 2024 Between: 1. Hindustan Petroleum Corporation Limited, Visakh Refinery, rep by its Authorized Signatory and Power of Attorney Holder, Executive Director Pamidipati Veerabhadra Rao, S/o.P.Veeresalingam, aged about 59 years, VRMP, Visakhapatnam. ...Appellant AND 1.BGR Energy Systems Limited, Rep by its Authorized Signatory Office at 2nd floor - 433, Anna Salai, 2nd Floor, Guna Complex,’ Teynampet, Chennai - 600018. ...Respondent Mr.Sreekanth Reddy Ambati Mr.T.V.P. Sai Vihari Counsel for the Appellant Counsel for the Respondent : The Court made the following ORDER: (per NJS,J) This appeal is preferred against the orders dated 10.5.2024 in C.A.O.P. No. 19 of 2024 on the file of the Special Judge for Trial and Disposal of Commercial Disputes, Visakhapatnam. 2 # ComCA 27 2024 The appellant herein filed the said petition/application under Section 9(1) of the Arbitration and Conciliation Act, 1996 read with Section 10(3) of the Commercial Courts Act, 2015, for a direction to the respondent to furnish security for an amount of Rs.63,35,46,755. 29 paise and further additional security as and when required. 2. The said application was filed pending resolution of the disputes between the parties through arbitration. The respondent herein remained ex parte before the learned Commercial Court; however, on considering the matter the said application was dismissed with some observations. The learned counsel for the appellant submits that considering the application filed by the respondent herein vide Arbitration Application No.64 of 2023 under Section 11(5) & (6) of the Arbitration and Conciliation Act, 1996, by order dated 12.7.2024, a former Judge of the Hon’ble Supreme Court has been appointed as sole Arbitrator and that the learned Arbitrator had entered reference. He submits that in view of the appointment of the learned Arbitrator for resolution of the disputes between the parties, the appellant would raise its claims before the learned Arbitrator, but the observations made in the order dated 10.5.2024 in C.A.O.P. No.19 of 2024 may come in the way of pursuing the said claims. 3. As seen from the order under challenge, it v>/ould appear that while deciding the application under Section 9 of the Arbitration and Conciliation Act, the learned Commercial Court had merely expressed its opinion for not granting the relief sought for. That observation, in our considered opinion, would not deprive the appellant to raise its claims before the learned Arbitrator and to substantiate the same by placing relevant material. 4. 3 ComCA_27 2024 5. With the above observation and without going into merits of the case, the appeal is disposed of. No order as to costs. Miscellaneous petitions pending, if any, shall stand closed. Sd/- E KAMESWARA RAO JOINT REGISTRAR //TRUE COPY// SECTION OFFICER To 1. The Special Judge for Trial and Disposal of Commercial Disputes at Visakhapatnam, Visakhapatnam District. 2. One CC to Sri Sreekanth Reddy Ambati, Advocate [OPUC] 3. One CC to Sri T V P Sai Vihari, Advocate [OPUC] 4. BGR Energy Systems Limited, Rep by its authorized signatory , Office at 2^^^ floor - 433, Anna Salai, 2'^'^ Floor, Guna Complex, Teynampet, Chennai - 600018. 5. Three CD Copies — TK vna HIGH COURT DATED:12/02/2025 ORDER COIVICA.No.27 of 2024 DISPOSING OF THE COMMERCIAL COURT APPEAL