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2025 DAILYLAW 34147 (KAR)

D T LAKKAPPA v. M/S VINAYAKA CONSTRUCTIONS

CMP/929/2022 · 2025-01-17

Sachin Shankar Magadum

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Judgment text

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- 1 - NC: 2025:KHC:2020 CMP No. 929 of 2022 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 17TH DAY OF JANUARY, 2025 BEFORE THE HON'BLE MR JUSTICE SACHIN SHANKAR MAGADUM CIVIL MISC. PETITION NO. 929 OF 2022 BETWEEN: D.T. LAKKAPPA, S/O THIMARASAPPA, AGED ABOUT 43 YEARS, R/AT NO. 03, DASEGOWDANAPALYA, BANASHANKARI 6TH STAGE, 6TH BLOCK, VIDYAPEETA POST, KENGERI HOBLI, BANGALORE - 560 060. …PETITIONER (BY SRI. NATARAJA H.C, ADVOCATE) AND: 1. M/S. VINAYAKA CONSTRUCTIONS, C/O RAJASHEKARAPPA, OFFICE AT CHIKKANADAVADI, HOLALKERE, KARNATAKA - 577 526, REPRESENTED BY MANAGING PARTNER A.C. RAMU. 2. SRI. A.C. RAMU, S/O LATE AJJAPPA, R/AT NO. 94/14, CHIKKAGOWDANAPALYA, BANASHANKARI 6TH STAGE, 3RD BLOCK, PALEKAMMA TEMPLE ROAD, BANGALORE - 560 062. 3. SRI. RAJASHEKARAPPA, S/O G. THIMMAPPA, Digitally signed by KAVYA R Location: High Court of Karnataka - 2 - NC: 2025:KHC:2020 CMP No. 929 of 2022 R/AT CHIKKANADAVADI VILLAGE AND POST, HALALKERE TALUK, CHITRADURGA - 577 523. 4. SRI. K.P. MAHESH, S/O K. PARAMESHWARAPPA, R/AT KAKANUR VILLAGE AND POST, CHENNAGIRI TALUK, DAVANGERE DISTRICT DAVANGERE - 577 552. 5. M/S HAIGREEVA INFRATECH PROJECTS LIMITED OFFICE AT D.NO. 1-54/5/8, MIG 28 AND 29, GROUND FLOOR, SWETHAVAHANA RESIDENCY, SECTOR - I, MVP COLONY, VISAKHAPATNAM - 530 017, REPRESENTED BY ITS MANAGING DIRECTOR SRI. JAGADEESWARUDU AND DURGARAO AND ALSO AT NO. 101, 4TH MAIN, NGEF LAYOUT, SANJAYNAGAR, BANGALORE - 560 094. 6. M/S SABARI CONSTRUCTION, R/AT 94/14, CHIKKAGOWDANAPALYA, BANASHANKARI 6TH STAGE, 3RD BLOCK, PALEKAMMA TEMPLE ROAD, BANGALORE - 560 062, REPRESENTED BY PROPRIETOR SRI. RAMU. …RESPONDENTS (BY SRI. GIRISH R, ADVOCATE FOR R2, R3 AND R4; R1, R5 AND R6 - SERVED) THIS CIVIL MISC. PETITION IS FILED UNDER SEC.11(5) AND 11(6) OF THE ARBITRATION AND CONCILIATION ACT 1996, PRAYING TO APPOINT THE SUITABLE ARBITRAL TRIBUNAL AS PER PARA NO.16 OF DOCUMENT NO.1 DATED 03-04-2014 TO ADJUDICATE UPON THE DISPUTE THAT HAVE - 3 - NC: 2025:KHC:2020 CMP No. 929 of 2022 ARISEN BETWEEN THE PETITIONER AND THE RESPONDENTS, IN INTEREST OF JUSTICE. THIS PETITION, COMING ON FOR ADMISSION, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR JUSTICE SACHIN SHANKAR MAGADUM ORAL ORDER This Civil Miscellaneous Petition is filed under Section 11(5) and (6)(a) of the Arbitration and Conciliation Act, 1996 seeking appointment of a sole arbitrator to resolve the dispute and difference between the parties herein in terms of partition deed vide document No.1 dated 03.04.2014. 2. The petitioner has approached this Court based on a partnership deed dated 03.04.2014. A legal notice was issued on 05.06.2020, as evidenced by document No.7, demanding that the respondents render accounts concerning the unauthorized transfer of 3,25,00,000/-, despite explicit directions prohibiting any further transfers. Previously, a civil miscellaneous petition was dismissed on - 4 - NC: 2025:KHC:2020 CMP No. 929 of 2022 the ground that jurisdiction under Section 11(6) of the Act was invoked without issuing the requisite notice under Section 21. However, the petition was disposed of with liberty granted to the petitioner to file a fresh petition upon due compliance. Following this, the petitioner issued a legal notice on 01.11.2022, as per document No.1, invoking the arbitration clause in the partition deed dated 03.04.2014 and calling upon the respondents to render accounts in accordance with Clause 16 of the said deed. 3. After issuance of notice, the respondents tendered appearance through a counsel. 4. After a thorough review of the petition, annexures and supporting documents, this Court is satisfied that the petitioner has met the procedural requirements outlines under Section 11(4) of the Arbitration and Conciliation Act. - 5 - NC: 2025:KHC:2020 CMP No. 929 of 2022 5. In the light of the aforesaid clause of arbitration and the contentions advanced by the petitioner the following order is passed: ORDER (a) The petition is allowed appointing Hon'ble Mr. Justice A.V.Chandrashekara, Former Judge, High Court of Karnataka, as the sole arbitrator to enter reference of the disputes between the petitioner and the respondents and conduct proceeding at the Arbitration and Conciliation Centre (Domestic and International), Bengaluru according to the Rules governing the said Arbitration Centre. (b) All contentions inter se parties are left open for adjudication in the arbitration proceedings. - 6 - NC: 2025:KHC:2020 CMP No. 929 of 2022 (c) The office is directed to communicate this order to the Arbitration and Conciliation Centre and to Hon'ble Mr. Justice A.C.Chandrashekara, Former Judge, High Court of Karnataka, as required under the Arbitration and Conciliation Centre Rules, 2012. . Sd/- (SACHIN SHANKAR MAGADUM) JUDGE HDK List No.: 1 Sl No.: 15 CT: BHK