Delhi High Court Appoints Arbitrator for PVR INOX-Ansals Plaza Mall Dispute

The Delhi High Court has appointed an arbitrator to resolve a dispute between PVR INOX and Ansal Plaza Mall. The multiplex was sealed due to unpaid dues by the lessor. PVR INOX is seeking Rs 4.5 crore in claims. Justice C Hari Shankar authorised arbitration proceedings.

The Delhi High Court has named an arbitrator to settle a conflict involving PVR INOX and Ansal Plaza Mall in Greater Noida. The conflict emerged after the multiplex was sealed over the lessor's unpaid government dues.

Justice C Hari Shankar, passing the order, stated, 'Prima facie, an arbitrable dispute has arisen between the parties, which is amenable to arbitration in terms of the arbitration clause extracted. As the parties have not been able to come to a consensus regarding the arbitrator, this Court has to step in. Therefore, this Court appoints the arbitrator to arbitrate on the disputes between the parties.' He also noted that the Counsel for the Respondent/lessor should be allowed to counter-claim in the arbitration proceedings.

Advocate Sumit Gehlot, representing PVR INOX, shared that his client had entered into a lease agreement with Sheetal Ansal in 2018, securing four screens at Ansal Plaza Mall, Greater Noida. PVR INOX deposited Rs 1.26 crore as security and invested substantially in the multiplex. However, on June 6, 2022, the SDM Gautam Budh Nagar Sadar issued a notice to recover statutory dues from Ansal Property and Infrastructure Ltd. Despite repeated requests by PVR INOX, the lessor failed to address the issue, leading to the sealing of the mall on July 23, 2022.

PVR INOX filed two petitions under Section 11 of the Arbitration & Conciliation Act, 1996, in the Delhi High Court, claiming a total of Rs 4.5 crore. Justice C Hari Shankar appointed an arbitrator on July 30, 2024, to adjudicate the case. Advocate Sumit Gehlot from Fidelegal Advocates & Solicitors represented PVR INOX.

(With inputs from agencies.)