The Patiala House Court Today (Nov 29) granted a conditional stay on the attachment of Delhi’s Bikaner House, an immovable property owned by the Nagar Palika of Nokha, Rajasthan. District Judge Vidya Prakash issued the stay on the condition that dues owed by the Nagar Palika related to an arbitral award are deposited within a week.
Thank you for reading this post, don't forget to subscribe!
NEW DELHI: The Patiala House Court granted a conditional stay on the attachment of Delhi’s Bikaner House, a prominent immovable property owned by the Nagar Palika of Nokha, Rajasthan.
The conditional relief came after the court addressed the Nagar Palika’s obligations related to an arbitral award.
District Judge Vidya Prakash, who presided over the matter, issued the stay with a firm directive:
“The dues owed by the Nagar Palika related to the arbitral award must be deposited within one week.”
This ruling provides temporary respite for the Nagar Palika, provided the financial obligations are met within the stipulated time.
The case stems from an arbitral award passed in 2020, which directed the Nagar Palika to pay an amount of Rs 50,31,512 to M/S Enviro Infra Engineers. The award had attained finality after an appeal filed by the Nagar Palika was dismissed earlier in 2024.
However, despite the award’s finality, the Nagar Palika reportedly failed to comply with its directives. On September 18, the Court ordered the attachment of Bikaner House after observing the Nagar Palika’s consistent non-compliance. It stated,
“The Nagar Palika has failed to honor the arbitral award or to appear for representation in the execution proceedings.”
In its detailed September 18 order, the Court emphasized that the Nagar Palika had also disregarded earlier directives to submit details of its assets.
Highlighting the municipality’s inaction, the Court remarked,
“Despite being ordered to file details of its assets, the Nagar Palika has failed to ensure compliance.”
This prompted the issuance of an attachment warrant against Delhi’s Bikaner House, which the Court identified as an asset belonging to the Nagar Palika. The attachment served as a step to enforce the award and recover the dues.
On Friday, the Court decided to provide conditional relief but emphasized the importance of timely compliance. It stated,
“The stay is conditional upon the Nagar Palika depositing the dues related to the arbitral award within a week.”
The case highlights the judiciary’s focus on ensuring accountability and enforcing compliance with arbitral awards, especially in cases involving public bodies.
This conditional stay underscores the critical balance between granting temporary relief and enforcing legal obligations. While the Nagar Palika has secured a brief reprieve, its next steps will determine the fate of Bikaner House, a significant property under its ownership.
Click Here to Read Previous Reports on Patiala House Court
FOLLOW US ON YOUTUBE FOR MORE LEGAL UPDATES
