An application filed before Arbitral Tribunal u/s 27 of Arbitration and Conciliation Act, 1996 cannot be allowed mechanically by Arbitral Tribunal, it must scrutinize that there is relevancy or materiality of witness sought to be produced | The adjudication has to be done by Arbitral Tribunal – Steel Authority of India Ltd. v. Uniper Global Commodities – Delhi High Court
Hon’ble High Court of Delhi held that:
(i) The Arbitral Tribunal is required to form an opinion/exercise discretion in permitting the witness to be examined by the petitioner.
(ii) An application filed before the Arbitral Tribunal under Section 27 of the A&C Act cannot be allowed mechanically by the Arbitral Tribunal, it must scrutinize, at least on a prima facie basis, that there is relevancy of the witness sought to be produced.
(iii) The powers of High Court under Section 27 are not adjudicatory powers when r/w Section 5 & Section 19 of the A&C Act. The adjudication has to be done by the Arbitral Tribunal, which is the chosen forum by the parties.
(iv) The present petition is dismissed with a direction to the Arbitral Tribunal to consider, even if only on a prima facie conspectus, the relevancy or materiality of the evidence sought to be produced by the petitioner, before allowing the petitioner to approach High Court for seeking assistance in taking evidence.