JUDGEMENT
P.B.SURESH KUMAR, J. -
(1.)This appeal under Sec. 37 of the Arbitration and Conciliation Act, 1996 (the Act ) is directed against the order
dtd. 13/12/2010 in Arbitration O.P. No.1906 of 2008 on the
files of the Court of the District Judge, Ernakulam. The
appellant was the first respondent in the said proceedings.
(2.)The first respondent is a member of the second respondent, M/s.Cochin Stock Exchange Ltd. and was
carrying on business as share broker in the name of his
proprietory concern. The appellant availed the services of the
first respondent for purchase and sale of shares through the
second respondent. A dispute arose between the appellant
and the first respondent concerning the transactions effected
by the first respondent on behalf of the appellant. Disputes of
this nature, in terms of the provisions contained in the
Memorandum and Articles of Association of the second
respondent, are to be adjudicated by recourse to arbitration by
an arbitral tribunal constituted by the second respondent. An
arbitral tribunal was therefore constituted by the second
respondent on the request of the parties to resolve the dispute
and the arbitral tribunal passed an award directing the first
respondent to pay to the appellant a sum of Rs.36,72,180.56
with interest. The award was challenged by the first
respondent in court in Arbitration O.P.No.33 of 1999 invoking
Sec. 34 of the Act. The Court set aside the award on
grounds that the arbitral tribunal was not one properly
constituted and that the first respondent was not given proper
notice in the arbitral proceedings. Thereupon, the appellant
required the second respondent to constitute an arbitral
tribunal again for resolving the dispute afresh and a new
arbitral tribunal was accordingly constituted for the said
purpose. Even though notice was issued by the newly
constituted arbitral tribunal to the first respondent, he has not
chosen to contest the claim of the appellant. Having regard to
the materials on record, the newly constituted arbitral tribunal
also passed an award permitting the appellant to realise
Rs.36,72,580.00 with interest from the first respondent. That
award was challenged by the first respondent in Arbitration
O.P. No.1906 of 2008 on the ground that in the light of the
order in Arbitration O.P.No.33 of 1999, the proceedings which
culminated in the award impugned is unsustainable in law
being one hit by the principles of res judicata. The court
accepted the said plea of the first respondent and set aside the
award on that ground as per the order impugned in the appeal.
The appellant is aggrieved by the said decision of the court
below.
(3.)Heard the learned counsel for the appellant as also the learned counsel for the respondents.
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