Calcutta High Court
Tata Capital Limited vs Global Authowheels Private Limited on 8 April, 2026
OCD-23
ORDER SHEET
IN THE HIGH COURT AT CALCUTTA
COMMERCIAL DIVISION
ORIGINAL SIDE
AP-COM/216/2026
TATA CAPITAL LIMITED
VS
GLOBAL AUTHOWHEELS PRIVATE LIMITED
BEFORE:
The Hon'ble JUSTICE GAURANG KANTH
Date : 8th April, 2026.
Appearance
Mr. Avishek Guha, Adv.
Ms. Arunika Dutta, Adv.
Ms. Ankush Majumder, Adv.
...for petitioner
The Court:- Affidavit of service is taken on record.
Despite Service, none appears for the respondent.
The petitioner has preferred the present petition under Section 11 of
the Arbitration and Conciliation Act, 1996 seeking constitution of an
Arbitral Tribunal comprising of a sole arbitrator to adjudicate the dispute
between the parties.
Learned Counsel appearing for the petitioner submits that the
respondent was granted a loan facility in the nature of Channel Finance to
the tune of Rs.4,25,00,000/-under a Channel Finance agreement dated
04.12.2018. The said facility was subsequently renewed/revived/extended
for a sum of Rs.4,25,00,000/- in the years 2019 and 2020. Thereafter, in
July 2021, the respondent no. 1 once again approached the petitioner for
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renewal of the said facility to which the petitioner acceded. However, vide
Capping letter dated 14.09.2021, the respondents requested to reduce the
sanctioned limit by Rs.1,25,00,000/- and Cap the facility amount at Rs.
3,00,00,000/-. Upon reviewing the requirement of the respondents, the
petitioner reduced the previous sanctioned loan amount from
Rs.4,25,00,000/- to 3,00,00,000/- for a tenure of a year and issued a
sanction letter dated 20.07.2021 to the respondents. The said facility was
further extended vide letter dated 21.07.2022 and 23.11.2023. Thereafter,
the petitioner and the respondents entered into a loan cum guarantee
agreement for Channel Finance read with the Registered Master Terms and
Conditions for Channel Finance dated 31.12.2018 for a sum of
Rs.3,00,00,000/-.
It is submitted that the Respondent committed defaults in adhering to
the repayment schedule and hence his account was classified as NPA.
The petitioner has recalled the entire loan agreement vide notice for
recall of loan and invocation of arbitration dated 07.05.2025 and called
upon the respondents to make payment of the outstanding amount of
Rs.2,59,89,852.89/-. Despite receipt of such demand the respondents failed
the neglected to liquidate the outstanding dues.
The dispute between the parties has arisen out of the alleged default
in repayment of the admitted loan amount. The notice invoking arbitration
was issued 07.05.2025.
Prima facie it appears that disputes have arisen between the parties in
terms of the Loan cum Guarantee Agreement for Channel Finance dated
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23.11.2023 read with the Registered Master Terms and Conditions for
Channel Finance dated 31.12.2018, which contains an arbitration clause
thereof.
Accordingly, this Court is satisfied that the present case is a fit case
for reference to arbitration. The agreement itself confers jurisdiction upon
this Court.
Accordingly, this Court appoints Mr. Rudraman Bhattacharjee,
Learned Senior Counsel (Mob. No. 9830731277) as the sole Arbitrator to
adjudicate the dispute between the parties.
The appointment the learned sole Arbitrator shall be subject to
compliance with Section 12 of the Arbitration and Conciliation Act, 1996.
The Learned sole Arbitrator shall be entitled to fix the remuneration in
accordance with the Fourth Schedule of the Act.
A copy of this order shall be communicated by the petitioner to the
learned sole Arbitrator for necessary action.
All the questions relating to arbitrability of the dispute, admissibility
of the claims, limitation or any other issues are kept open to be urged before
the learned sole Arbitrator.
With the aforesaid directions, the present petitioner stands disposed
of.
(GAURANG KANTH, J.)
gb.
