Arbitrability and Non-arbitrability of disputes under SARFESI Act – M/s Diamond Entertainment Technologies Pvt. Ltd. & Ors. Vs. Religare Finvest Ltd. Through Its Authorized Officer – Delhi High Court
Hon’ble High Court held that the resolution of disputes through arbitration is recognized even under the SARFAESI Act and there is no absolute bar of referral of such disputes which may be covered under the SARFAESI Act by way of arbitration. As has been argued, that even though HDFC Bank Ltd. has been over ruled, the law as enunciated in M.D. Frozen Foods still is good law. Though M.D. Frozen Foods is mentioned specifically in Vidya Drolia but it has not been overruled and there is no ground to review the impugned Order. To sum up, firstly the review petition is not maintainable under law; secondly the grounds for review as agitated in the application are more in the realm of appeal and not amenable to review. Thirdly, there is no error apparent on face of record nor are the findings in contravention of the observations made in Vidya Drolia which was the main ground for seeking review.