Supreme Court DecisionsSupreme Court Decisions

November 21, 20150

Award of interest from date of cause of action till date of award –Union of India v. Bright Power Projects (India) (P) Ltd., (2015) 9 SCC 695

When agreement between parties barred interest on amounts from cause of action to date of award, arbitrator is bound by it and cannot award interest. Despite clause prohibiting interest on any amount to be payable to contractor, arbitrator granted pendente lite interest (for period commencing from reference till date of award) relying on decision in G.C. Roy, (1992) 1 SCC 508, it is not proper.

 

Negotiable Instruments Act, 1881 Ss. 138 and 141 Offence under S. 138-Mainuddin Abdul Sattar Shaikh v. Vijay D. Salvi, (2015) 9 SCC 622

Person who draws cheque on account maintained by him for paying the payee, alone attracts liability. In this case, cheque was drawn by respondent on bank account maintained by him towards refund of booking amount. Hence, respondent-accused who was Managing Director/Sole Proprietor of Company(s) and who had drawn cheque in his personal capacity refunding booking amount, which had been paid for a flat to be developed by respondent Companies, would be liable even though Company was not named in notice or complaint.

 

 

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