# In the matter of Brilltech Engineers Pvt. Ltd. v. Shapoorji Pallonji and Co. Pvt Ltd.,ARB.P. 790/2020, IA 12493/2020, IA 3888/2021

> HC judgment dated 2022-12-15. Citation: TCN-2022-HC-00007. Brilltech Engineers Private Limited filed a petition under Section 11(6) of the Arbitration and…

- **Court:** HC
- **Order date:** 15 Dec 2022
- **Citation:** TCN-2022-HC-00007
- **Category:** IBC
- **Source page:** https://caseease.in/cases/ibc/high-courts-new-delhi/brilltech-engineers-pvt-ltd-v-shapoorji-pallonji-and-co-pvt-ltdarbp-7902020-ia-1-b07feff2

## Summary

### Background

Brilltech Engineers Private Limited filed a petition under Section 11(6) of the Arbitration and Conciliation Act, 1996, seeking the appointment of a sole arbitrator to resolve disputes with Shapoorji Pallonji and Company Private Limited regarding payments for electrical work done for a construction project awarded by Army Welfare Housing Organisation (AWHO). A separate petition under Section 9 of the Act was also filed for attachment of Rs. 2,58,03,143/- lying with AWHO, which was allegedly indebted to pay the amount to enable the respondent to release the amount in favor of the petitioner. The disputes arose from alleged non-payment of dues for electrical works executed by Brilltech for Shapoorji Pallonji in a project awarded by AWHO.

## Facts

Army Welfare Housing Organisation (AWHO) awarded a contract for the construction of Twin Tower residential accommodation at Greater Noida to Shapoorji Pallonji and Company Private Limited (SPCPL). SPCPL, in turn, awarded the electrical work for the project to Brilltech Engineers Private Limited (BEPL) through a Work Order dated 19.12.2011. The Work Order was later amended on 16.10.2017 due to the introduction of GST. BEPL executed the electrical work and raised several running account bills (RA Bills). SPCPL made payments aggregating to Rs. 5,12,02,735/- against the bills. Disputes arose regarding outstanding payments, with BEPL claiming Rs. 59,76,574/- plus interest. BEPL submitted running account bill no. 40 dated 29.10.2018 for Rs. 37,34,229/-, against which Rs.

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## Issues and analysis

### Issue 1: Whether there are arbitrable disputes between Brilltech Engineers Private Limited and Shapoorji …

**Ratio:** A petition before the NCLT is maintainable only in cases of disputes in respect of

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**Reasoning:** The court reasoned that the respondent had consistently challenged the amounts claimed by

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**Interpretation:** The interpretation is that the existence of a dispute is determined by the

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**Application:** The court applied this reasoning to the facts by noting that Shapoorji Pallonji

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## Parties

- **Judges:** NEENA BANSAL…
- **Appellants:** BRILLTECH…
- **Respondents:** Shapoorji…
- **Other parties:** Kohi…

## Timeline

- **2011-03-11 — Contract A…**: AWHO awarded the construction of Twin Tower residential accommodation to Shapoorji…
- **2011-12-19 — Work Order…**: Shapoorji Pallonji awarded the electrical work to Brilltech Engineers via Work Order No.…

## Legal provisions

- [Insolvency and Bankruptcy Code, 2016, Section 11(6) — Persons not entitled to make application](https://caseease.in/legal-provisions/insolvency-and-bankruptcy-code-2016/section-11)

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