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Before Surinder Kumar, Additional District Judge (Retired)

Sole Arbitrator, Karnal

Case No. 3428/2021

Date of Final Report: 18.01.2024

M/s Mint Life Sciences Pvt. Ltd. Plot No. 55 Industrial

Area, Phase-2, Panchkula-134113 (Haryana), Mobile No.

98785-17788, website sidharath@mintlifescience.com

through its Director, Sh. Sidharath Goel.

…Claimant
Versus
M/s Manorama Pharmaceuticals, Canal Road, Chhatra

Bazar, PO College Square, Cuttack, Odisha-753003,

Phone: 94371-28001, Email: rakesh.balu@yahoo.in,

through its Proprietor Sh. Rakesh Balu.

….Respondent

Argued By
Sh. Sidharath Goel, Claimant in person.
Respondent-Ex-parte.
Final Report
1. Instant case has been referred to the undersigned as Sole

Arbitrator appointed by the State Government, by the

Council under Section 18 (3) of the Micro Small &

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Medium Enterprises Development Act, 2006 to facilitate

Arbitration Proceedings and send final

report/recommendation, vide letter dated 06.11.2023 and

received on 08.11.2023.

2. Shorn of the details, the claimant is a Private Limited

Company and duly registered vide registration certificate

No. HR-13-0001143 and has been running the business of

various chemical products, pharmaceutical and botanical

products, medical substances etc. under the name and style

“M/s Mint Life Sciences Pvt. Ltd.” at Panchkula. Sidharath

Goel Director of the company has been authorized to

initiate legal proceedings.

3. It is further asserted that as per purchase orders placed by

the respondent from time to time, material was supplied by

the claimant company to the respondent against invoices as

tabled below: -

Sr. No. Date of Date of Invoice No. Amount

P.O. Supply/ (Rs.)
invoice
1. 31.03.2018 31.03.2018 MNT-002208 154106
2. 21.01.2019 21.01.2019 MNT-0002739 65418
3. 11.09.2019 11.09.2019 MNT-0001574 53814
4. 18.12.2019 18.12.2019 MNT-0002550 12250
5. 01.01.2020 01.01.2020 MNT-0002677 19934
6. 23.01.2020 23.01.2020 MNT-002861 2579
Total 308101
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(Annexure A-2). Goods were delivered by the claimant to

the respondent as above mentioned.

4. The respondent has also made part payment of Rs.

1,30,796/- (One lac thirty thousand seven hundred ninety

six only) and a balance of Rs. Rs. 1,77,305/- (One lac

seventy-seven thousand three hundred and five only) is

outstanding towards the respondent. The claimant has been

maintaining accounts book in the regular course of business

and the payments received from the respondent have also

been recorded therein.

5. Accordingly, the claimant claimed Rs. 1,77,305 (One lac

seventy-seven thousand three hundred and five only) as

principal amount plus interest Rs. 48,507/- (Forty eight

thousand five hundred and seven only) vide statement of

account (Annexure A-4 and Annexure A-5). The claimant

made earnest request to the respondent to pay the

outstanding amount which remained barren of results. All

these facts and circumstances culminated in the

presentation of the given claim petition.

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6. On the other hand, the respondent-buyer filed reply through

mail. But none appeared on behalf of the respondent.

Consequently, he was proceeded ex-parte.

7. The respondent buyer pleaded vide reply sent through mail

that he had surrendered his DL No. and GST No. to the

authority concerned and closed his business with the

claimant. It is further stated that the claimant did not co-

operate to supply the goods as per order with the result the

respondent suffered financial loss.

8. It is further stated that last stock of the goods were received

by the respondent in January, 2020. Accordingly, the

respondent pleaded to settle the account.

9. It is worthwhile to mention here that after sending reply

through mail the respondent did not appeared. Resultantly,

he was proceeded ex-parte.

10. The claimant-seller filed rejoinder to the reply of the

respondent and refuted the pleas taken by the respondent

and claimed that the seller is entitled to the outstanding

amount.

11. The claimant also filed affidavit in support of the present

claim.
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12. The claimant produced the following documents in Ex-

Parte evidence: -

a. Annexure A-1 (Copy of MSME Registration

Certificate).

b. Annexure A-2 (Copy of Affidavit in lieu of Purchase

Orders).

c. Annexure A-3 (Copies of Invoices).

d. Annexure A-4 (State of Accuntant).

e. Annexure A-5 (Interest Calculation as per the MSED

Act, 2006).

f. Annexure A-6 (Copy of application).

13. The claimant also placed on record the detailed calculation

as per the Repo Rate.

14. I have heard the arguments advanced by Ld. Counsel for

the claimant and carefully perused the material on record.

15. It is axiomatic from the material on record that the claimant

firm is duly registered vide Udyog Aadhaar registration No.

HR-13-0001143 (Annexure A-6). It is worth highlighting

that in view of the invoices the claimant supplied goods to

the respondent vide Annexure A-3 and the respondent also

made the payments against the material of Rs. 1,30,796/-

(One lac thirty thousand seven hundred ninety six only) on

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24.08.2018 and 25.07.2018. So far, the plea taken by the

respondent that expiry breakage amount is Rs. 1,04,000/-

(One lac four thousand only) is concern, it is pertinent to

mention here that not even a scintilla of evidence has been

adduced by the respondent with regard to expiry breakage,

freight charges, market outstanding, salary and expenses

and Doctors gifts as stated in the reply.

16. The claimant-seller produced the Statement of Account

maintained in the course of business, consequently there is

no reason to disbelieve these entries. On the basis of these

entries the claimant has claimed Rs. 1,77,305 (One lac

seventy-seven thousand three hundred and five only) as

principal amount plus Rs. 48,507/- (Forty eight thousand

five hundred and seven only) as interest till 20.09.2021 are

outstanding towards the respondent (Annexure A-4).

17. The claimant has also filed affidavit in support of his

contentions.

18. It is worthwhile to mention here that the Ex-parte evidence

adduced by claimant stands un-rebutted. Consequently,

there is no reason to disbelieve the above documents

brought on record by the claimant.

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19. In the wake of the above facts and circumstances, I arrive at

un-escapable conclusion that the claimant to entitled to Rs.

1,77,305/- (One lac seventy-seven thousand three hundred

and five only) as principal amount plus Rs. 48,507/- (Forty

eight thousand five hundred and seven only) as interest till

20.09.2021 as calculated by the claimant and from the

respondent under Sections 15, 16 and 17 of the Act and

future interest till its realisation. The claimant is also

entitled to Arbitration fee i.e. Rs. 20,000/- from the

respondent.

20. The respondent is further liable to pay Rs. 2,500/- to the

Council as conciliation proceedings fee in favour of

Chairman, Haryana Micro and Small Enterprises

Facilitation Council.

Note: - Each page has been signed.

Dated: 18th January, 2024.

Surinder Kumar,
Additional District Judge, (Retd.), Sole
Arbitrator.