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  5. February

Kaulgud Construction Pvt. Ltd., Miraj Thr. Its Directors and Ors. vs. Maharashtra State Road Development Corporation, Mumbai

Decided on 29 February 2024• Citation: IA/57/2024• Bombay High Court
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                                                           16-IA-57-2024-COMFA-7-2022.doc
                       IN THE HIGH COURT OF JUDICATURE  AT BOMBAY                 
                              CIVIL APPELLATE JURISDICTION                        
                            INTERIM APPLICATION  NO. 57 OF 2024                   
                              (FOR WITHDRAWAL   OF AMOUNT)                        
                                            IN                                    
                          COMMERCIAL   FIRST APPEAL NO. 7 OF 2022                 
        Digitally                                                                 
        signed by                                                                 
        SHRADDHA                                                                  
   SHRADDHA KAMLESH                                                               
   KAMLESH TALEKAR                                                                
   TALEKAR Date:                                                                  
                1] Kaulgud Construction Pvt. Ltd.                                 
        2024.03.04                                                                
        19:16:13                                                                  
        +0530                                              .. Applicants          
                & 2 Ors.                                                          
                In the matter between :                                           
                Maharashtra State Road Development Corporation .. Appellant       
                        Versus                                                    
                1] Kaulgud Construction Pvt. Ltd.                                 
                & 2 Ors.                                   …Respondents           
                Mr.M.L. Patil, Advocate for Applicants /Respondents.              
                Dr.Veerendra Tulzapurkar, Senior Advocate with Mr.Prashant        
                Chawan, Reshmarani Nathani, Keshav Tripathi, J. Kapadia i/b       
                Little & Co., Advocate for Appellant-MSRDC.                       
                          CORAM   : B.P. COLABAWALLA  &                           
                                    SOMASEKHAR   SUNDARESAN,  JJ.                 
                          DATE   :  FEBRUARY  29, 2024.                           
                P C :                                                             
                1.   The above Interim Application is filed by the Applicants (Original
                Plaintiffs) to release the amount of Rs.35,32,74,343/- deposited by the
                                         Page 1 of 3                              
                                       February 29, 2024                          
                Shraddha Talekar, PS                                              

                                                           16-IA-57-2024-COMFA-7-2022.doc
                Appellant in this Court on such terms and conditions as this Court may
                deem fit.                                                         
                2.   Initially, the Trial Court passed a decree in favour of the Original
                Plaintiffs in the sum of Rs.22,99,07,739/- along with interest @ 12.20%
                per annum [after deduction of income tax] from the date of institution of
                the Suit till the judgment and thereafter @ 7% per annum till payment
                and/or realization. This decree of the Trial Court is challenged in the
                above Appeal by the Appellant-Maharashtra State Road Development  
                Corporation (“MSRDC”). It is pursuant to the orders passed by this Court
                on 24th August 2022, 5th September 2022, 14th September 2022 and 18th
                October 2023, respectively, that the amount of Rs.35,32,74,343/- has
                been deposited by MSRDC in this Court and which the Applicants    
                (Original Plaintiffs) seek to withdraw.                           
                3.   We enquired from the learned counsel appearing on behalf of the
                Applicants that if he is permitted to withdraw the amount of      
                Rs.35,32,74,343/-, will he be in a position to furnish a bank guarantee for
                the said amount, or furnish any other adequate security to ensure that the
                money can be brought back, in the event the Appeal succeeds. The  
                learned counsel appearing on behalf of the Applicants fairly stated that
                the Applicants are not in a position to either furnish a bank guarantee or
                                         Page 2 of 3                              
                                       February 29, 2024                          
                Shraddha Talekar, PS                                              

                                                           16-IA-57-2024-COMFA-7-2022.doc
                furnish any security. What they can furnish is only an undertaking that
                they will bring back the money if the Appeal succeeds.            
                4.   Considering the statement made by the learned counsel appearing
                on behalf of the Applicants, we are of the view that we cannot permit the
                Applicants to withdraw the amount Rs.35,32,74,343/- merely on an  
                undertaking that in the event the Appeal succeeds, the Applicants would
                bring back this amount. In these circumstances, the above Interim 
                Application is dismissed. However, there shall be no order as to costs.
                5.   This order will be digitally signed by the Private Secretary/Personal
                Assistant of this Court. All concerned will act on production by fax or
                email of a digitally signed copy of this order.                   
                [ SOMASEKHAR  SUNDARESAN,  J. ]    [ B.P. COLABAWALLA, J. ]       
                                         Page 3 of 3                              
                                       February 29, 2024                          
                Shraddha Talekar, PS