Madras High Court
ARB APPEAL/1/2025 of ARKAY Energy (Rameswaram) Private Ltd. Vs Oil and Natural Gas Corporation Ltd on 11 November 2026
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED: 11-11-2026
CORAM
THE HON'BLE MR.JUSTICE D.BHARATHA CHAKRAVARTHY
Arb Appeal No. 1 of 2025
CNR:{HCMA011908032024}
and
CMP No. 353 of 2025
M/s.Arkay Energy (Rameswaram) Private Ltd., Unit No.3, 1st floor, Survey No.115/1, Kapil Towers, Financial District, Nanakramguda, Gachi Bowli, Hyderabad-500 032
..Appellant
Vs
M/s.Oil and Natural Gas Corporation Ltd
Karaikal Asset, Neravy Office Complex,
Karaikal, Puducherry-609 604
..Respondent
Prayer in
Arb Appeal No. 1 of 2025:
Appeal filed under section 37 of the
Arbitration and Conciliation Act, 1996 to set aside the impugned order dated 22-07-2024 passed by the learned District Judge, Karaikal in I.A.No.7 of 2024
in Arb.OP.No.5 of 2023 insofar as it dismisses the Preliminary ground raised by the appellant herein.
Prayer in
CMP No. 353 of 2025:
Petition filed under Section 151 of Code of Civil Procedure, 1908 to stay the proceedings in Arb.OP.No.5 of 2023 pending on the file of the learned District Judge, Karaikal.
For Petitioner:
Mr.Mohit Kumar
For Respondent:
Mr.A.R.L.Sundaresan
Additional Solicitor General
Assisted by
Mohammed Fayaz Ali
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JUDGMENT
This appeal is filed aggrieved by the order dated 22.07.2024 passed by the learned District Judge, Karaikal in I.A.No.7 of 2024 in Arb.OP.No.5 of 2023.
2. The grievance of the appellant is that when a preliminary ground was raised by the appellant, the same was rejected on an erroneous premise, and as such, the present appeal has been filed.
3. The contention of the respondent is that there is no provision or procedure to consider the preliminary issue alone, as the main original petition is filed under Section 34 of the Arbitration and Conciliation Act, 1996. Challenging the award, and in any event, the present appeal is not maintainable. In the backdrop of the said stand, when the matter came up for hearing, learned counsel on both sides were ad idem that the impugned order dated 22.07.2024 be set aside, with liberty to the parties to agitate the preliminary issue also, along with other issues, at the time of final hearing of the Arb.O.P.No.5 of 2023.
4. In view thereof, this appeal in Arb.Appeal.No.1 of 2025 is partly allowed on the following terms:
(1) the impugned order dated 22.07.2024 made in I.A.No.7 of 2024 in Arb.OP.No.5 of 2023 by the learned District Judge, Karaikal shall stand set aside.
(2) the applicant herein will be entitled to argue the preliminary issue along with the other issues together at the time of final hearing in Arb.O.P.No.5 of 2023 and the same shall be considered on its own merits without being in any manner influenced by the earlier order passed or the order of this Court.
5. The Appeal is ordered accordingly. No costs. Consequently, connected miscellaneous petition is closed. 11-11-2026 Neutral Citation: Yes/No SHL To: M/s.Oil and Natural Gas Corporation Ltd Karaikal Asset, Neravy Office Complex, Karaikal, Puducherry-609 604
D.BHARATHA CHAKRAVARTHY J. SHL Arb Appeal No. 1 of 2025 and CMP No. 353 of 2025 11-11-2026