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  1. Home/
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  4. 2024/
  5. February

Vatech Co Ltd vs. Unicorn Denmart Ltd

Decided on 29 February 2024• Citation: EX.P./46/2023• High Court of Delhi
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                 $~52                                                             
                 *    IN THE  HIGH   COURT   OF DELHI  AT  NEW   DELHI            
                 +    EX.P. 46/2023, EX.APPL.(OS) 136/2024, EX.APPL.(OS) 242/2024 
                      VATECH   CO LTD                    ..... Decree Holder      
                                     Through:  Ms. Meenakshi Ogra, Mr. Tarun      
                                               Khurana, Mr. Samrat S. Kang, Ms.   
                                               Chhavi Paney, Mr. Rishi Vohra, Mr. 
                                               Devanshu Dedi, Advs.               
                                     versus                                       
                      UNICORN   DENMART   LTD            ..... Judgement Debtor   
                                     Through:  Mr. Gunjan Kumar, Ms. Geetika      
                                               Matta, Advs.                       
                      CORAM:                                                      
                      HON'BLE   MR. JUSTICE JASMEET   SINGH                       
                                     O R D E R                                    
                 %                   29.02.2024                                   
                 1.   This is a petition seeking execution of the judgment and decree dated
                 04.08.2022 passed in CS(COMM) No. 857/2017.                      
                 2.   The execution petition seeks recovery of principal amount of Rs.
                 2,77,26,742/- with pre-suit interest at the rate of 9% per annum and post suit
                 interest at the rate of 7%.                                      
                 3.   The parties have arrived at a settlement and the decree-holder has
                 handed over a chart pursuant to which payments are to be made. The same is
                 acceptable to the learned counsel for the judgment debtor.       
                 4.   The payment schedule is reproduced below:-                  
   This is a digitally signed order.                                              
   The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
   The Order is downloaded from the DHC Server on 11/03/2024 at 11:25:14          

            Principal                                                             
            Amount    2,77,26,742.00                                              
            Total                                                                 
            Interest as 1,78,69,754.52                                            
            on 27.02.2024                                                         
            Litigation 26,40,131.00 4,80,74,888.10                                
                                     SCHEDULE OF PAYMENT                          
                                            O/S                                   
                              OPENING           UTILIZATION CLOSING       TOTAL   
                          Opening Opening Interestfrom Towards Towards Towards Balance Balance Closing Total
                                                                Interest          
           Date Payment Opening Outstandin Outstanding Total Principal Litigation Litigat Principal
                                     lastpayment                                  
                                                    Interest                      
                          g Interest                                      Outstanding
                                                            ion                   
                     Principal Litigatlon               Charges      utstanding   
                                           Outstanding                            
                                     on                                           
                                                            Charg                 
                               Charges                                            
                     Outstanding     outstanding                          Amount  
                                                            es                    
                                     Prlnclpal                                    
                65,00,000 2,77,26,742 1,78,69,755 26,40,131 4,82,36,628 65,00,000 26,40,131 1,13,59,755 2,77,26,742 4,17,36,628
            27.02.2024                                                            
                65,00,000 2,77,26,742 1,13,69,755 26,40,131 1,61,739 4,18,98,367 65,00,000 26,40,131 50,31,494 2,77,26,742 3,53,98,367
            27.03.2024                                                            
                65,00,000 2,77,26,742 50,31,494 26,40,131 1,61,739 3,55,60,106 51,93,233 13,06,767 13,33,364 2,77,26,742 2,90,60,106
            27.04.2024                                                            
                65,00,000 2,77,26,742 13,33,364 1,61,739 2,92,21,846 50,04,896 1,61,739 13,33,364 2,27,21,846 2,27,21,846
            27.05.2024                                                            
                65,00,000 2,27,21,846 1,32,544 2,28,54,390 63,67,456 1,32,544 1,63,54,390 1,63,54,390
            27.06.2024                                                            
                65,00,000 1,63,54,390 95,401 1,64,49,790 64,04,599 95,401 99,49,790 99,49,790
            27.07.2024                                                            
            27.08:2024 65,00,000 99,49,790 58,040 1,00,07,831 64,41,960 58,040 35,07,831 35,07,831
                35,28,293 35,07,831  20,462 35,28,293 35,07,831 20,462            
            27.09.2024                                                            
            Total 4,90,28,293                                                     
                 5.   The judgment debtor shall be bound to the above-reproduced payment
                 schedule.                                                        
                 6.   However, the first instalment of 27.02.2024 shall be payable on or
                 before 10.03.2024.                                               
                 7.   The instalment for the month of March will be paid on 30.03.2024
                 and thereafter the schedule will be followed.                    
                 8.   In addition, my attention has been drawn to a judgment of this court
                 titled “Voith Hydro Ltda & Ors. Vs. NTPC Limited” in O.M.P. (ENF.)
                 (COMM.)  64/2018, wherein this Court has held as under:          
                     “33. In Islamic Investment Company v. Union of India and Anr.:
                     (supra), the Bombay High Court following the decision in All India
                     Reporter Ltd. v. Ramchandra D. Datar (supra) rejected the    
                     contention that the Judgment Debtor (in that case, the Food  
   This is a digitally signed order.                                              
   The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
   The Order is downloaded from the DHC Server on 11/03/2024 at 11:25:14          

                     Corporation of India) must be allowed to deduct TDS on the   
                     interest payable to a non- resident. The Court observed that:
                       “when such amounts becomes part of a judgment-debt, they   
                       lose their original character and assume the character of a
                       judgment debt. Once such an amount assumes the character of
                       judgment debt, the decree passed by the civil court must be
                       executed subject only to the deductions and adjustments    
                       permissible under the Code of Civil Procedure.”            
                     34. The Court further observed that there was no provision under
                     the Income Tax Act or under the Code of Civil Procedure, 1908
                     where an amount of interest payable under a decree would be  
                     subject to TDS.”                                             
                 9.   For the said reasons, it is directed that the judgment debtor shall not
                 deduct any TDS on the judgment debt.                             
                 10.  However, the judgment debtor shall deduct TDS on the amounts
                 permissible under the CPC.                                       
                 11.  The execution petition is disposed of.                      
                                                           JASMEET   SINGH, J     
                      FEBRUARY    29, 2024/DM                                     
                                          Click here to check corrigendum, if any 
   This is a digitally signed order.                                              
   The authenticity of the order can be re-verified from Delhi High Court Order Portal by scanning the QR code shown above.
   The Order is downloaded from the DHC Server on 11/03/2024 at 11:25:14