the goan I network
MARGAO
South Goa District Court on Thursday disposed of the arbitration application filed by Fomento on the Sonsodo treatment plant, with district Judge B P Deshpande making clear that the disposal of the application will in no way prejudice the rights of the parties before any arbitration forum
or Court.
Judge Deshpande further said that payments made by the Margao Municipal Councils, including the Rs 1.4 crore deposited with the district Court and the payments of Rs one lakh per day made to the Civic body to Fomento in lieu of treatment of solid waste, in view of the interim orders of the court shall be subject to the final outcome of the arbitration proceedings or proceeding in a Court
of law.
The District Court also stated that the two parties are open to take their contentions before any forum or court
for redressal.
When the matter was called up by the Court for hearing on Thursday, Fomento lawyer Adv G Mallya filed
an application for the withdrawal of the arbitration application filed under section 9 of the Arbitration Act by pointing out that the company has made a letter expressing its willingness to hand over the solid waste management plant to the Civic body.
Fomento had in early July last moved the district Court with a plea to direct the Civic body not to dispossess the company from the waste treatment plant till the Municipality clears the termination payment amounting to Rs 14 crore and to direct the MMC not to supply waste to the plant.
The Court, however, had requested Fomento to accept the solid waste on payment of Rs one lakh per day by the MMC, with a direction to the Civic body not to dispossess Fomento
from the plant.
While granting Fomento’s plea for withdrawal of the application, Judge Deshpande disposed of the application without prejudice to the rights of either parties. While giving one week time to the MMC to consider Fomento’s offer to hand over the treatment plant, the judge said the existing arrangement of Fomento accepting the MMC waste in lieu of payment shall continue for a week.
