$~15 * IN THE HIGH COURT OF DELHI AT NEW DELHI + ARB.P. 1174/2025 M/S MONEYWISE FINANCIAL SERVICES PVT LTD.....Petitioner Through: Adv Ranjeet Kumar & Preety Kunari, Adv. versus RONIT TRADING CO. AND ORS. .....Respondents Through: Mr. Neeraj Kumar, Adv. CORAM: HON'BLE MR. JUSTICE JASMEET SINGH O R D E R % 14.10.2025 1. This is a petition filed under Section 11 of the Arbitration and Conciliation Act, 1996 seeking appointment of an Arbitrator for adjudication of disputes between the parties. 2. The brief facts of the case are that the parties entered into a Master Loan Agreement dated 27.02.2022. Under the said Agreement, the petitioner advanced a loan to the respondents. In accordance with the terms of the agreement, the loan amount was disbursed, and the respondents executed a Demand Promissory Note in favour of the petitioner, agreeing to repay the loan in 36 instalments. 3. However, the respondents defaulted in repayment and breached other terms and conditions of the Agreement. Consequently, the petitioner issued a Loan Recall/Termination Notice dated 06.12.2023, demanding repayment of the outstanding dues. This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 25/10/2025 at 11:16:06 4. The arbitration clause is Clause 8.2 of the Master Loan Agreement which reads as under: “8.2. Arbitration: Any disputes, differences, controversies and questions directly or indirectly arising at any time hereafter between the Parties or their respective representatives or assigns, arising out of or in connection with this Agreement (or the subject matter of this Agreement), including, without limitation, any question regarding its existence, validity, interpretation, construction, performance, enforcement, rights and liabilities of the Parties, or termination (“Dispute”), shall be referred to a sole arbitrator duly appointed by the Lender. The language of the arbitration shall be English. The seat of the arbitration shall be at New Delhi and the language of proceedings shall be English. The seat of the arbitration shall be at New Delhi and language of proceedings shall be English. The award rendered shall be in writing and shall set out the reasons for the arbitrator's decision. The costs and expenses of the arbitration shall be borne equally by each Party, with each Party paying for' its own fees and costs including attorney fees, except as may be determined by the arbitration tribunal. Any award by the arbitration tribunal shall be final and binding.” 5. Respondent No. 1 is the principal borrower and respondent No. 2 is the Sole Proprietorship of respondent No. 1 and respondent No. 3 is stated to be the Co-borrower. 6. Since there were disputes between the parties, the petitioner invoked arbitration vide legal notice dated 10.03.2025 and thereafter filed the present This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 25/10/2025 at 11:16:06 petition which was duly replied to by respondent No. 3. 7. Respondent Nos. 1 and 2 have been served but there is nobody appearing on behalf of respondent Nos. 1 and 2. 8. Mr. Kumar, learned counsel for respondent No. 3 appears through VC and states that a reply has been filed. However, the same is not on record. 9. He states that the objections raised by him are two-fold. Firstly, that the petitioner has already appointed an Arbitrator who has assumed jurisdiction and has already passed an Award and hence the present petition will not lie. Secondly, he states that as per his oral instructions, the signature of respondent No. 3 on the Loan Agreement are forged for which he has registered an FIR with the Economic Offences Wing (“EOW”). 10. Ms. Preety, learned counsel for the petitioner, states that the arbitrator was unilaterally appointed by the petitioner and since the same is void ab initio, the petitioner is not prosecuting the said Award. She states that the Award is a nullity in the eyes of the law in view of the judgments of Perkins Eastman Architects DPC v. HSCC (India) Ltd., (2020) 20 SCC 760 and TRF Ltd. v. Energo Engg. Projects Ltd., (2017) 8 SCC 377. Hence, the earlier award is an award which is void ab initio on account of unilateral appointment of Arbitrator. 11. For the said reasons, there cannot be any objection to the Court adjudicating the present petition. 12. The fact whether the EOW has registered an FIR or the signatures of respondent No. 3 are fraud is a question which will lie within the domain of the Arbitral Tribunal. 13. In the present case, there is a valid arbitration clause between the parties and there are disputes which need to be adjudicated through arbitral This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 25/10/2025 at 11:16:06 mechanism. 14. For the said reasons, the petition is allowed and disposed of with the following directions: i) Mr. Devansh Gupta (Advocate) (Mob. No. 9871209110) is appointed as a Sole Arbitrator to adjudicate the disputes between the parties. ii) The arbitration will be held under the aegis and rules of the Delhi International Arbitration Centre, Delhi High Court, Sher Shah Road, New Delhi (hereinafter, referred to as the ‘DIAC’). iii) The remuneration of the learned Arbitrator shall be in terms of DIAC (Administrative Cost and Arbitrators’ Fees) Rules, 2018. iv) The learned Arbitrator is requested to furnish a declaration in terms of Section 12 of the Act prior to entering into the reference. v) It is made clear that all the rights and contentions of the parties, including as to the arbitrability of any of the claim, any other preliminary objection, as well as claims/counter-claims and merits of the dispute of either of the parties including limitation, are left open for adjudication by the learned arbitrator. vi) The parties shall approach the learned Arbitrator within two weeks from today. JASMEET SINGH, J OCTOBER 14, 2025/DM This is a digitally signed order. The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above. The Order is downloaded from the DHC Server on 25/10/2025 at 11:16:06