The disputes pertaining to oppression and mismanagement under Indian law, are not arbitrable and only the NCLT has exclusive jurisdiction to decide such disputes – Anupam Mittal Vs. People Interactive (India) Pvt. Ltd. and others – Bombay High Court
Hon’ble High Court of Bombay held that:
(i) When the subject matter of dispute, as in this case pertaining to oppression and mismanagement, is incapable of settlement through arbitration under the law of India, the Court cannot have any discretion in such matters and enforcement of such a foreign award becomes an impossibility.
(ii) Even a bare look at the petition itself shows that mere filing of the same before the NCLT cannot ipso facto lead to the plaintiff claiming anti-enforcement order against the defendants herein.
(iii) Only the NCLT has the jurisdiction to decide the question as to whether it has jurisdiction to entertain and decide the petition filed by the plaintiff and/ or whether the disputes being contractual in nature, are arbitrable and the parties are to be referred to arbitration
(iv) If the defendants choose to file an application under Section 45 of the Arbitration Act, to claim that in the real sense, the grievances and disputes raised by the plaintiff are purely contractual in nature, due to which the parties must be referred to arbitration, such detailed arguments would also have to be advanced before the NCLT itself. High Court cannot cross the line and trench upon the exclusive jurisdiction of the NCLT in such matters.
