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Judgment
M. Jaichandren, J.—Heard the learned Counsel appearing for the Petitioners and the learned Counsel appearing for the first Respondent
and the learned Special Government Pleader, appearing on behalf of the second and third Respondents.
At this stage of the hearing of the writ petition, a memo dated 02.03.2011, had been filed on behalf of the first Respondent, wherein it has been
stated as follows:
Under the peculiar factual circumstances of this case, without prejudice to the case of the Writ Petitioner, the writ Petitioner respectfully submits as
follows:
a) The writ petition may be allowed.
b) The matter may be remanded to the Registrar of Chits namely the second Respondent for fresh disposal of the arbitration case against the writ
Petitioners on merit.
c) This Hon''ble Court may be pleased to direct the parties to appear before the Arbitrator on a specific date as this Hon''ble Court may be
pleased to fix.
d) This Hon''ble Court may be pleased to direct the second Respondent to dispose off the Arbitration case on merits within a period of 4 weeks
from the date fixed for the appearance of parties.
e) This Hon''ble Court may be pleased to direct the Arbitrator to decide the case on merits by giving an opportunity of hearing to both the parties
according to the principles of natural justice as claimed by the writ Petitioners.
The first Respondent most respectfully prays that this Hon''ble Court may be pleased to dispose off the writ petition on the above terms and pass
such other further orders as may be necessary under the circumstances of this case and thus render justice.
The learned Counsel appearing on behalf of the Petitioners, has no objection for this Court passing an order in terms of the memo filed on behalf
of the first Respondent.
The learned Special Government Pleader appearing on behalf of the second Respondent had submitted that the first date of hearing may be
fixed as, 17.03.2011.
In such circumstances, the impugned order, dated 29.10.2004, made in ARC. No. 807 of 2003, and the order, dated 04.09.2006, made in
G.O.(D) No. 439, Commercial Taxes and Registration (G) Department, are set aside. The matter is remanded back to the Registrar of Chits, the
second Respondent in the writ petition, for a fresh disposal of the arbitration case. The second Respondent shall dispose of the matter, on merits
and in accordance with law, within a period of eight weeks from the date of copy of a receipt of this order. The first date of hearing is fixed as
17.03.2011. It is made clear that the parties shall co-operate with the arbitration proceedings. It is also made clear that the amount paid by the
Petitioners pursuant to the conditional order of stay passed by this Court in M.P. No. 2 of 2006, in W.P. No. 36531 of 2006, shall be taken into
consideration by the second Respondent, while passing final orders in the arbitration proceedings.
The writ petition is ordered accordingly. Consequently, the connect miscellaneous petition is closed. No costs.