NEW INDIA ASSURANCE CO. LTD. vs SHIRDI INDUSTRIES LIMITED

Judgment text excerpt

025:BHC-OS:2-DB Megha 38_arbp_375_2024_fc.docx IN THE HIGH COURT OF JUDICATURE AT BOMBAY ORDINARY ORIGINAL CIVIL JURISDICTION ARBITRATION PETITION NO.375 OF 2024 New India Assurance Co. Ltd. ...Petitioner V/s. Shirdi Industries Limited ...Respondent WITH INTERIM APPLICATION (LODGING) NO.7794 OF 2024 IN ARBITRATION PETITION NO.375 OF 2024 Shirdi Industries Limited ...Applicant In the matter between New India Assurance Co. Ltd. ...Petitioner V/s. Shirdi Industries Limited ...Respondent ______________ Mr. R.S. Vidyarthi with Mr. Mohit Turakhia i/b. Mr. Asim S. Vidyarthi for the Petitioner and for the Respondent in IAL/7794/2024. Mr. Rohan Savant with Mr. Abirban Sen and Mr. Ranjan Dwivedi for Respondent in ARBP/375/2024 and for the Applicant in IAL/7794/2024. ______________ CORAM: SANDEEP V. MARNE, J. JUDGMENT RESERVED ON: 27 NOVEMBER 2025. JUDGMENT PRONOUNCED ON: 09 DECEMBER 2025 Judgment: Page No. 1 of 26 9 December 2025 Megha 38_arbp_375_2024_fc.docx 1) Petitioner-Insurance Company has filed the present Petition under Section 34 of the Arbitration and Conciliation Act, 1996 (Arbitration Act) challenging unanimous Award of the Three-Member Arbitral Tribunal dated 20 September 2022. By the impugned Award, the Tribunal has awarded a sum of Rs.30,99,555/- in favour of the Respondent alongwith interest @ 12.5% p.a. from 16 August 2016 till realisation. The Arbitral Tribunal has also awarded costs of Rs.29,44,021/- to the Respondent. 2) Petitioner is a nationalised general insurance company. The Respondent is an incorporated entity engaged in manufacturing of various types of wooden boards. The Respondent has its manufacturing plants at Pantnagar (Uttarakhand), Coimbatore (Tamilnadu) and Bhiwandi (Maharashtra). The Respondent availed insurance cover under the Policy named -In