The High Court · 2025

26.9oguloth Sriram S/O Eerya, Modugugada Tanda, Andanalapadu. Dornakal Mandal, Mahabubabad -506381 . 2T.Goguloth Veeranna, S/O Aasha, HNo 8-3-245, UPH Colony, Khanapuram Haveli Rural. Khammam DistrictSO7002.

28.Sk Lalsaheb, S/O Pentusaheb, Hno. 4-22, Mustikunfla Village, Bonakal Mandal, Khammam District-507204.

29.Vantala Laxmi, WO Nageshwar rao, Hno. l-3-35i1 , Nehru Veedi, Dornakal Mandal, Mahabubabad District-S06381.

30.Pagadala Venugopal, Sio Yadagiri, HNo. 13-48, Sai Ganesh, Road No. 13, Venkateshwara temple, Khammam District-s07001.

31. Dharavath Veeranna, S/O Sundar, Hno. 5-6-97i4, Parshibandam, Kahmmam District-507001 .

32.Muthamali Vijaykumar, S/O Lazar, Hno. 5-13/1, RTC Colony, Near Water tank, Kahmmam Town and Districl507001.

33. Muthamali Vijakumar, S/O Lazar, Hno. 5-13/1 , RTC Colony, Near Water tank, Kahmmam Town and District-507001.

34. Muthamali Vijakumar, S/O Lazar, Hno. 5-13/1 , RTC'Colony, Near Water tank, Kahmmam Town and District-S07001.

35. Muthamali Vijakumar, S/o Lazar, Hno. 5- 1 3/'l , RTC Colony, Near Water tank, Kahmmam Town and District-507001.

36.Thappetla Srilatha, WO Sridhar, HNO.1-2-5611, Hanumanthunigadda, Patabazar, Mahabubabad Town and District-5061 01 .

37. Bhupally Bhaskar Rao, S/o, Rajalingu, Hno. SD 59, Old colony, 24 area, lllandu Mandal, Bhadradri kothagudem District-S07123.

33.Angothu Bhavusingh, S/O Jeevula, Hno.1-212, Tejavath Tanda, Appalaraopet, Nekkonda Mandal, Warangal District-506369.

39. Guguloth Veeranna, S/O Ash, 42 yrs, Hno. 8-3-245, UVH Colony, Khanapuramhaveli, Khammarn DiStrict-507002.

40.Sudhakar lmmadi, S/O Adam, Hno. 1-3-36141713, Mahabubabad DistriclS061 01. Srinagar Colony, 4l.Sudhakar lmmadl, S/o Adam, 1-3-36141713, Srinagar Colony, Mahabubabad District506101 .

42.Korra Susheela, D/O Kishan, Hno.10-1-35411, Nehrungar, Mallapur, Kapra, Medchal district-500062

43. Chidaraboina Shereesha, WO Dasharatham, Hno. 4-93l2, Upparapally, Kesamudram Mandal, Mahabubabad District-5061 12.

44. Padigadapalli Jhansi, D/O Lakshman, Hno 8-99, Peddamupparam Village, Danthalapally Mandal, Mahabubabad District-506324.

45. Maloth Manasa, WO Avinash, Maloth Tanda, Appalaraopet, Nekkonda Mandal, Warangal District-506369.

46.Janagani Sumalata, WO Rakesh, Hno. 3-87, Ashoknagar, Khanapur Mandal, Warangal District-5061 32. 4T.Paripally Badravathi, W/O Kapilaiah, 53 yrs, Hno. 4-42, Munigana Veedu Village, Nellikuduru Mandal, Mahbubabad-506368.

48. Korra Susheela, WO Kishan, Hno.10-1-34/1 , Nehrunagar, Mallapur, Kapra, Medchal District-500026

49.Akarapu Swathi, WO Shyam, Hno.3-97 Ashoknagar, Khanapur Mandal, Warangal District-5061 32.

50. Bandoju Vilayalaxmi, WO Nageshwar Rao, Hno. 4-6311 Gandhi puram, Mahabubabad Town and Dtstricl506101 . 5l.Mamidala Rajendra Prasad, S/o Narsaiah, Hno. 19-128/1 , Sanjaygandi Nagar, Narsampet [,4andal, Warangal Distrct-506132.

52. Godishala Vamshi Vivek, S/o papa Rao, Hno. 6-2-35/1/A, Krishna Colony, Mahabubabad Town andDistict-s061 01

53. Poliepally Sonra Narayana, S/o Chukkaiah, Hno 2-71, Pedda li/lupparam Village, Dantalapally Mandal, lvlahabubabad District-506324.

54. Gugulothu Anitha. WO Mangya, Hno. 3-10, Addasikunta Tanda, Vemanur Mandal. Mahatrubabad District-s06101. 55 Kandala Madhusudan Reddy, S/O Ram Narsimha Reddy, Hno. 3-109/4, Mote Village, Burganrpadu Mandal, Kothagudem District-5O71 14.

56.Kollu Ashok, S/o, Venkanna, Hno. 5-18, Kambalapally, Mahabubabad Mandal, District 5061 03.

57. Marka Uma. W/O Rajesh, Ravirala Village, Nellikuduru Mandal, Mahabubabad District-506368 ...Respondents (Respondent Nos.3 to 57 are not necessary parties) Arbitration Application frled under Section 11 (C) of the Arbitration and Conciliation Act, '1 996 R/w Scheme for Appointment of Arbitrator, 1996 praying that this Hon'ble Court may be pleased to appoint a Sole Arbitrator to adJudicate and resolve the disputes between the Applicant and Respondent that pertain to the violation of the qnregistered Agreement of Sale daled 25-09-2022, and award costs for the application and claims, Counsel for the Applicants: Sri S. Nagesh Reddy Counsel for the Respondent No.1: Sri Madiraju Srinivas Rao The Court made the following: ORDER HON'BLE SRI JUSTICE K. LAKSHMAN ARBITRATION APPLICATION No.178 of 2024 ORDER: Heard Sri S. Nagesh Reddy, learned counsel for the applicant and Sri Madiraju Srinivas Rao, learned counsel appearing for respondent No. 1. Despite service of notice, there is no representation on behalf of respondent No.2. Respondent Nos.3 to 7 are formal parties. Perused the record.

2. Perusal of record would reveal that l.t respondent has executed a registered irrevocable General Power of Attorney (for Short "GPA") bearing document No.2409 of 2022 in favour of 2"a applicant with regard to development and sale of open place adrneasuring 327a6 square yards 1n Sy.No.398/AA/30/1 situated at Ma1iala, Mahabubabad Mandal, Mahabubatrad District. On the strength of the said registered irrevocable G.P.A, 2.d respondent has executed an agreement of sale dated 25.09.2021 in favour of applicants for sale of the aforesaid land. He has also received an amount of Rs.3O,O0,0OO/- out of total sale t' KL,J Arb.App.No.I7a of2024 2 consideration of Rs. 1,93,|2,OOOl-. 2"d respondent is not executing registered sale deed in favour of the applicants by receiving balance sale consideration. Thus, there are disputcs betvuecn the applicant and respdndent Nos.1 ald

2. the same are arbitrable disputes.

3. Applicants have already filed an application under Section 9 of the Arbitration and Conciliation Act, 1996 and the same is pending on the file of learned IX Adclitional Chief ,ludge, City Civil Court at Hyderabad.

4. Invoking the arbitration clause, appiicants have issued notice dated 1O.O5.2024. Despite receiving and acknowledgir-rg the said notice, respondent did not respond to the same and nominate the member of arbitrating tribunal in terms ol the said agreemenl . Therefore, applicants fi1ed the present application.

5. Whereas. Sri Madiraju Srinivas Rao, learned counsel appearing for respondent No.1 would contend that 1"t respondent is not party to the agreement of sale and also cash receipt dated 25.09.2022. Therefore, the same is not KL,J Arb App.No.178 of 2024 J binding on the l"t respondent. On the said grounds, l"t respondent is opposing the present application

6. As discussed supra, l"t respondent has executed aforesaid registered irrevocable GPA bearing document No.24O9 of 2022 dated 22.02.2022 in favour of 2"d respondent for the purpose of development and sale of aforesaid subject property. On the strength of the said registered irrevocable GPA, 2"a respondent has executed agreement of sale with applicants herein dated 25.O9.2022 to sell the aloresaid property for a total sale consideration of Rs.l,93,12,OOOl-. They have paid an amount of Rs.3O,OO,O0O/- towards advance sa-le consideration. It is agreed between them to pay the balance sale consideration within one yea-r from the said date. 2"d respondent had received the said amount of Rs.30,OO,OO0/- towards advance sale consideration, vide receipt dated 25.09.2022. Thus, according to the applicants, respondent Nos.1 and 2 are not receiving the balance sale consideration and executing the sale deed in favour of the applicants. Therefore, there are disputes between the applicants and KL,J ArL App.\o.I78 or 2024 4 respondent Nos. 1 and 2 with regard to saicl agreement of sale. 7 . Clausc 1 1 (d) of the said agreement of sale dated

25.O9.2022 <:ot-rsisting of arbitration clause and the same is relevant and extracted below: '1I (d). An1' dispute arising out of the telms and conditions; of this agrecment will be referred to an arbitrator aplrcinted rnutually by both the parties and that said arbitrator shall decr,le ihe proceedings in accordance uith the provisions of thc arL)itrrtion and Conciliation Act, the decision of the arbitrator shail be 'rlt:rl and bindrng on both the parties. 'i he Seat of ArbiLration and (ioults rvill be at Hyderabad will have exclusive iunsdi(--tion."

8. Invoking the said clause, the applicants have already issued r-roticr. dated 7O.O5.2O24 and they have also filed application i,rnder Section 9 of the Arltitration and Conciiiation ,Act vide Arbitration Application llo.39 of 2024 and the sam( is pending.

9. As disr'ussed supra, l"t respondent has executed registered irr,'r,ocabie general power of attorn€:y in favour of 2nd respondent for development and sale of the subject property. Thcrefore, 1"t iespondent cannot say that he is not a party to the agreement of sale dated 25.O9.2022 and KL,J Arb App No.178 of2024 5 cash receipt dated 25.09.2022. However, it is for the 1 arbitrator to consider the said disputes.

10. The scope of this Court, under Section 11 of the Arbitration and Conciliation Act is very limited. This Court being referral Court has to consider only two aspects i.e., existence of agreement and arbitration clause. 1 1 . As discussed supra in the present case, in the \ agreement of sale dated 25.09.2022 there is a clause with regard to arbitration. Thus, agreement and arbitration clause exists in the present case.

12. As discussed supra, there are disputes between the applicants and respondent Nos. I and 2. The same are arbitrable in nature

13. In the light of the aforesaid discussion, this application is a-llowed Sri Justice A. Shankar Narayana, former Judge of High Court for the State of Andhra Pradesh and Telangana, Hyderabad, R/o Plot No.63, Saketh, MITHILA, Kapra Municipality, Kapra, Hyderabad-500o62 (Mobile:9493193365) IS appointed as arbitrator to -tr. KI,J Alb App.No 178 ot 2024 6 adjudicate the disputes between the applicant arrd respondent Nos. 1 and 2.

14. Accordingly, this arbitration appiication IS allowed. There shall be no order as to costs.

15. As a sequel, miscellaneous petitions, if any, pending in the arbitrzrtion application shall stand closed. SD/-K.SRINIVASA RAO JOINT REGISTRAR //TRUE COPY// CTION OFFICER To,

1. Srr Justice A :jhankar Narayana, former Judge of High Court for the State of Andhra Praoesh and Telangana. Hyderabad, R/o Plot No.63, Saketh, MITHILA. Kapra Municipality, Kapra, Hyderabad-500062 (Mobile:94931t3365) (By Special Messenger) (Along with a Copy of affidavit and material papers)

2. One CC to Sr', S. Nagesh Reddy, Advocate [OPUC] 3. One CC to Sri l,/adiraju Srinivas Rao, Advocate IOPUC] 4 Two CD Copies Kam/l>S I . w HIGH COURT DATED:0310312025 ORDER ARBAPPL.No.178 of 2024 ( c' J C o 1Hc ST41€ 0 I APf, 2025 )' '( i- :a ( k \_ i) f',.:, .. - .- -'i;.;:_--.-. -* /t ALLOWING THE ARBITRATION APPLICATION ,b c-{ tr(,,