M/S Apya Capital Services Private Limited v. M/S Sbr Infra Buildtech

HC-KAR, NC:(2026:KHC:44590-DB( CCC(No.(1566(of(2025( ( , CNR:(KAHC010795832025( ( ( IN(THE(HIGH(COURT(OF(KARNATAKAAT(BENGALURU(

TH DATED(THIS(THE(19 DAY(OF(AUGUST,(2026(

PRESENT( THE(HON'BLE(MR.(JUSTICE(JAYANT(BANERJI( (AND(( (THE(HON'BLE(MS.(JUSTICE(TARA(VITASTA(GANJU( CIVIL(CONTEMPT(PETITION(NO.(1566(OF(2025(( BETWEEN:(( (

1., M/S.,APYA,CAPITAL,SERVICES,PRIVATE,LIMITED, A,COMPANY,INCORPORATED,UNDER,THE, PROVISIONS,OF,COMPANIES,ACT,,1956,, HAVING,ITS,REGISTERED,OFFICE,AT,, FLAT,NO.22,,TOWER,6,,PEBBLE,BAY,, RAJ,MAHAL,VILAS,II,,RAMAKRISHNAPPA,LAYOUT,, NAGASHETTY,HALLI,,BENGALURU-560094., REPRESENTED,BY,ITS,AUTHORIZED,SIGNATORY,,, MR.,AKASH,GUPTA,, , RDALSO,AT,,NO.609,,3 FLOOR,,, TH TH ND 12 MAIN,,7 CROSS,,HAL,2 STAGE,,INDIRANAGAR,, Digitallytisignedtiby BANGALORE-560,038., JAI0JYOTHI0J EMAIL:legal1@fincity.com,Location:0HIGH …COMPLAINANT,COURT0OF KARNATAKA (BY,SMT.,HEMAVATHI.A.T.,,ADVOCATE,FOR, SRI.,CHINTAN,CHINNAPPA.M.,ADVOCATE), , AND:( (

1., M/S.,SBR,INFRA,BUILDTECH, A,PARTNERSHIP,FIRM,,, HAVING,ITS,OFFICE,AT,SY.,NO.,24/5,,, SBR,HORIZON,SEEGEHALI,,BENGALURU,URBAN,, KARNATAKA,,BANGALORE,–,560067., REPRESENTED,BY,ITS,MANAGING,PARTNER,, ,

HC-KAR, NC:(2026:KHC:44590-DB( CCC(No.(1566(of(2025( ( , CNR:(KAHC010795832025( ( ( MR.,T.VENUGOPAL., EMAIL:tvg@sbrgroup.in ,

2., MR.,T.VENUGOPAL., AGED,48,YEARS,, S/O,MR.,VENKATA,RAMANA,THANGALA,, MANAGING,PARTNER,OF,SBR,INFRA,BUILDTECH,, HAVING,ITS,OFFICE,AT,SY.,NO.,24/5,, SBR,HORIZON, SEEGEHALI,,BENGALURU,URBAN,,, KARNATAKA,,BANGALORE-560067, EMAIL:tvg@sbrgroup.in, , …ACCUSED, (BY,SMT.,LEKHA,JAIN.,,ADVOCATE,FOR, ,SRI.,SIDDHARTH,SUMAN.,ADVOCATE,FOR,A1,&,A2), , THIS,,CCC, IS, FILED, UNDER, SECTIONS, 11, AND, 12, OF, THE, CONTEMPT,OF,COURT,ACT,1971,,R/W,,ARTICLE,215,OF,THE, CONSTITUTION, OF, INDIA,BY, THE, COMPLAINANT,, WHEREIN, PRAYS,THAT,THE,HON'BLE,COURT,BE,PLEASED,,TO,INITIATE, CONTEMPT, PROCEEDINGS, AGAINST, THE, ACCUSED, AND, PUNISH, THEM, IN, ACCORDANCE, WITH, LAW, FOR, WILLFULLY, DISOBEYING,AND,VIOLATING,THE,ORDER,DATED,26.07.2024, OF, THE, DIVISION, BENCH, OF, THE, HON'BLE, COURT, OFKARNATAKA, AT, BENGALURU, PASSED, INCOMM.A.P.NO.225/2024,(ANNEXURE-G), , THIS,PETITION,,COMING,ON,FOR,ORDERS,,THIS,DAY,,ORDER, WAS,MADE,THEREIN,AS,UNDER:, , CORAM:, HON'BLE,MR.,JUSTICE,JAYANT,BANERJI, &, ,HON'BLE,MS.,JUSTICE,TARA,VITASTA,GANJU, , , , , , , , , , , , , , , (

ORAL ORDER

(PER: HON'BLE MS. TARA VITASTA GANJU)

¶1The instant petition is filed seeking initiation of the contempt proceedings against the accused for violating the order dated 26.07.2024, passed in Commercial Arbitration Petition No.225 of 2024.

¶2Initially,a petition filed by the complainant under Section 9 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as the 'A&C Act') read with Order 39 Rule 1 & 2 of the CPC read with Section 151 of the CPC, seeking a restraint against Accused No.1 before the learned Commercial Court, Bengaluru. By its order dated

10.06.2024, the learned Commercial Court allowed the petition under Section 9 of the A&C Act in the following terms: "ORDER The petition filed by the petitioner U/Sec. 114 r/w Sec. 151 of CPC and Sec. 9 of Arbitration and Conciliation Act, 1996 is hereby allowed.

The order passed by this Court on the application filed by the petitioner under Section 9 of A & C Act dated

25.03.2024 is hereby reviewed and fresh order is passed as hereunder;

Application filed by the petitioner under Section 9 of A & C Act is allowed. The respondent or its partners / agents / employees / representatives / henchmen or anyone else acting its behalf restrained from selling / alienating / encumbering / creating third party rights over the schedule 'C' property and collecting any money, receivables directly or indirectly till disposal of the Arbitration proceedings." [Emphasis Supplied]

¶3The order dated 10.06.2024, was challenged by the accused in COMAP No.225/2024. A Coordinate Bench of this Court,while partly allowing the Commercial Appeal passed the following directions on 22.07.2024: "24. Considering the above-mentioned factors, as an interim measure, to balance the equity, till the application under Section 17 is heard by the Arbitral Tribunal, this Court deems it appropriate to direct the appellant to furnish security to the tune of Rs.10.00 crores, keeping open all the questions relating to the interim measure to be adjudicated under Section 17 of the Act of 1996. This order is made also taking into account that both parties have agreed and requested this Court to appoint an arbitrator to resolve the dispute.

¶25Hence, the following interim measures are passed:

(i) The appellant shall furnish security to the tune of Rs.10.00 crores (Rupees Ten Crores only) to the satisfaction of the Commercial Court. Any security offered shall be free from all or any encumbrance and the respondent shall have first charge over the same.

(ii) Till furnishing of security as ordered, the appellant shall not alienate, or create any third party charge over the properties, excluding 6% of the properties over which appellant has exclusive right to sell.

(iii) On acceptance of security the appellant is permitted to sell or otherwise deal with the properties, and on sale or receipt of the installment amount from purchasers brought by the respondent, the amount/commission due to the respondent under the agreement dated 19.10.2022, shall be paid within 15 days from such receipt of the sale consideration and on such payment, the value of the security offered by the appellant shall stand reduced proportionately.

(iv) Even in case, the appellant fails to offer security as mentioned above, the appellant is entitled to sell 6% of the properties without any restrictions, as such right is recognised under the agreement dated 19.10.2022.

(v) As suggested by both parties Sri Justice Ajit Gunjal (subject to his consent and availability) is appointed as the sole arbitrator to adjudicate the dispute between the parties.

(vi) The interim measure shall be in force till 30 days from the date of receipt of the notice by the Arbitral Tribunal or till any interim order is passed by the Arbitral Tribunal whichever is earlier.

(vii) The parties are at liberty to move the Arbitral Tribunal for appropriate interim measures under Section 17 of the Act of 1996.

(viii) If any application is filed before the Arbitral Tribunal for appropriate interim measures, the same shall be considered by the Arbitral Tribunal without being influenced by any of the observations made in this order as all observations made in this order are only confined to the application under Section 9 of the Act of 1996." [Emphasis Supplied]

¶4The order dated

22.07.2024, passed by the Coordinate Bench clearly sets out that the directions passed shall be in force for a period of 30 days from the date of receipt of a notice by theArbitral Tribunal, or till an interim order is passed by the Arbitral Tribunal,whichever is earlier. It also granted liberty to the parties to move the Arbitral Tribunal for appropriate interim measures under Section 17 of the A & C Act.

¶5It is not in dispute that the Arbitral proceedings were initiated pursuant to a Notice commencing these proceedings and that the matter is pending consideration of the Arbitral Tribunal at present. The learned counsel for the complainant has also affirmed that an application seeking appropriate directions has been filed by the complainant which is pending before the Arbitral Tribunal.

¶6The contempt petition however fails to disclose any of these averments or any directions passed by the Arbitral Tribunal.

¶7Prima facie, given the aforegoing and the fact that the orderof which the disobedience is alleged, was passed by the Coordinate Bench more than two years ago and these directions were only to remain in force for a period of 30 days as stated above, the interim directions have lapsed.

¶8Accordingly, this case is consigned.

Sd/- (JAYANT BANERJI) JUDGE

Sd/- (TARA VITASTA GANJU) JUDGE

JJ List No.: 1 Sl No.: 27