Calcutta High Court Government Of Maharashtra vs Shrivin Pharma Pvt. Ltd on 12 October, 2023 Ordinary Original Civil Jurisdiction ORIGINAL SIDE (Commercial Division) Present : Hon'ble Justice Moushumi Bhattacharya AP 90 of 2023 IA No: GA 2 of 2023 Government of Maharashtra VS Shrivin Pharma Pvt. Ltd. For the petitioner : Mr. Anubhav Sinha, Adv. Mr. Ashish Shah, Adv. Mr. Rohit Mukherji, Adv. For the respondent : Mr. Debrup Bhattacharya, Adv. Mr. Amit Chowdhury, Adv. Last heard on : 05.10.2023 Delivered on : 12.10.2023 Moushumi Bhattacharya, J. 1. The respondent awardholder in AP No. 90 of 2023 has filed the present application for modification of an order passed by this Court on 12.7.2023. The order was passed in the main application whereby the petitioner award debtor was directed to deposit Rs. 26,25,000/ with the Registrar, Original Side of this Court within 3 weeks from the date of the order. 2 2. The applicant awardholder submits that the petitioner awarddebtor should be directed to deposit a sum of Rs. 4,25,35,173/ and not the amount which was directed to be deposited by the order dated 12.7.2023. 3. The applicant grounds its prayer on a calculation of 75% of the amount of Rs. 5,67,13,564/ awarded by the State Micro Small Enterprises Facilitation Council (MSME Council) by its award dated 24.9.2019. 4. The backstory to the application should briefly be stated. 5. The applicant awardholder is registered as a "small enterprise" under The Micro Small and Medium Enterprises Development Act, 2006 (MSMED Act). 6. The MSME Council passed the impugned award, which is the subject matter of AP 90 of 2023, on 24.9.2019 on a claim made by the respondent awardholder in 2017 before the Council. The claim was made on account of outstanding dues against supply of medicines by the respondent awardholder to the petitioner awarddebtor. The applicant's reference to the Council was made under section 18(1) of the MSMED Act. The reference travelled through the hierarchy of section 18 of the Act and the Council made the impugned award under section 18(3) of the said Act. By the impugned award, the petitioner awarddebtor was directed to pay the outstanding principal amount of Rs. 35,83,588/ plus interest thereon @ 3 times the bank rate compounded with monthly rests. 3 7. The petitioner filed AP 90 of 2023 for setting aside of the award dated 24.9.2019. By an order dated 7.7.2023, the petitioner was directed to comply with the requirement of section 19 of the MSMED Act in terms of putting in 75% of the awarded amount. Learned counsel, who is representing the petitioner awarddebtor, sought adjournment to take instructions on this point and the matter was made returnable on 12.7.2023. On the returnable date, counsel for the petitioner sought leave to deposit 75% of the awarded amount and was accordingly directed to deposit Rs. 26,25,000/ with the Registrar, Original Side within 3 weeks from the date of the order. The quantum of deposit was in accordance with the calculation presented by the counsel to the Court on that day. 8. The applicant awardholder seeks modification of the order dated 12.7.2023 by way of the present application essentially on the quantum directed to be paid by the petitioner. According to learned counsel for the applicant awardholder, the petitioner awarddebtor should pay Rs. 4,25,35,173/ which is 75% of the entire awarded amount, i.e., Rs. 5,67,13,564/. 9. Counsel appearing for the awarddebtor agrees that the quantum should be modified but says that the amount should be 75% of the principal sum which is Rs. 35,83,588/ which would amount to Rs. 26,87,691/. Counsel argues that the Facilitation Council did not calculate the interest component in the amount awarded but left the entire calculation to be quantified by a 4 Chartered Accountant of the awardholder's choice. It is further argued that the Chartered Accountant's Certificate contains several factual errors. 10. Learned counsel appearing for the applicant awardholder disputes the above contentions and urges that 75% must be calculated on the entirety of the awarded sum and not only on the prin