M/S Essel Infra Projects Ltd. vs The State Of Madhya Pradesh
- SCC(2018) 17 SCC 799
- Neutral2018 INSC 368
- SCR[2018] 4 SCR 265
Ratio decidendi
The rule this decision rests on
The object of the M.P. Madhyastham Adhikaran Adhiniyam, 1983 being to provide a speedy dispute resolution mechanism through arbitration, the State must monitor timeliness so that arbitration proceedings do not take unduly long time, and a period of one to two years may be regarded as reasonable for completion of such proceedings at the tribunal level. The Chairman of the Tribunal must ensure that no unreasonable delay takes place in proceedings, and must communicate to the State Government whenever there is a dearth of Benches to enable the State to set up such additional Benches as are necessary to effectuate the object of speedy resolution. Revision petitions before the High Court arising from tribunal decisions under the Act must be disposed of expeditiously and not beyond two years. Where the stipulated timelines for disposal of proceedings are not being followed, the matter may be brought to the attention of the Chief Justice of the High Court, who may then issue such directions as may be considered necessary, and if the timelines cannot be achieved despite such directions, statutory amendments may be considered to provide remedies at other appropriate forums.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
REPORTABLE
IN THE SUPREME COURT OF INDIA CIVIL APPELLATE JURISDICTION
CIVIL APPEAL NO(S). 4250 OF 2018 (Arising out of SLP (C) No(s).24172 of 2017)
M/S ESSEL INFRA PROJECTS LTD. THROUGH ITS AUTHORIZED REPRESENTATIVE APPELLANT(s)
VERSUS
STATE OF MADHYA PRADESH ACTING THROUGH ITS DIRECTOR RESPONDENT(S)
O R D E R
1. We have heard learned counsel for the parties. Leave
granted only to consider whether any direction is required
for timeliness in disposal of proceedings under the M.P.
Madhyastham Adhikaran Adhiniyam, 1983 (M.P. Act, 1983).
2. Sh. Parag Tripathi, learned senior counsel for the
appellant submitted that as at present the Tribunal
proceedings under the M.P. Act, 1983 take upto five years
and sometime even more. Learned counsel for the State does
not dispute that it is so happening in some cases.
Signature Not Verified Digitally signed by SWETA DHYANI
3. Having regard to the object of the legislation which Date: 2018.04.20 15:59:19 IST Reason: is to provide speedy dispute resolution mechanism, the
State must monitor timeliness so that arbitration 2
proceedings do not take unduly long time. One to two years
may, in our view, be taken as reasonable time for the
purpose.
4. Having regard to the realistic assessment which may be
made from time to time, such number of Benches may be set
up as may effectuate this object. The Chairman of the
Tribunal must also ensure that no unreasonable delay takes
place. As and when the Chairman thinks that there is dearth
of Benches, the Chairman must communicate the same to the
State Government and the State Government must forthwith
take a call thereon. If it is found that in spite of these
directions, the speedy disposal of proceedings is not
taking place, it will be open to either parties to move the
Chief Justice of High Court who may look into the matter
and issue such directions as may be considered necessary in
this regard.
5. We may also mention that decision at the original
level is not enough if proceedings are thereafter held up
in revision proceedings before the High Court. Such
revision petition must be disposed of expeditiously but not
beyond two years.
6. Though the above timelines are not mandatory, same
must be kept in mind by all concerned and attention of
Chief Justice of the High Court must be drawn if such 3
timelines are not followed so that the Chief Justice may
take such steps as may be possible in the matter. In case
it is found that timelines as contemplated cannot be
achieved, statutory amendments be considered so as to
provide remedies at any other appropriate forum. In this
connection reference may be made to the judgment of this
Court dated 28.03.2018 in Criminal Appeal No.470 of 2018
titled “Krishnakant Tamrakar Vs. State of Madhya Pradesh”.
7. The appeal is disposed of with the above directions.
..........................J. [ADARSH KUMAR GOEL]
..........................J. [ROHINTON FALI NARIMAN]
NEW DELHI 19th April, 2018
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