Authority: Calcutta High Court, Commercial Division
Order Date: 19 August 2026
Case Overview
- Petition filed under Section 11(6) of the Arbitration and Conciliation Act, 1996 by Rolta Infrastructure and Technology Services Pvt Ltd (petitioner) against the Department of Information Technology and Electronics, Government of West Bengal (respondent) seeking appointment of a sole arbitrator for disputes arising from a registered Sub‑Lease Agreement dated 04‑07‑2008.
- The respondent had obtained a 99‑year lease of approximately 10.052 acres from the Kolkata Metropolitan Development Authority (KMDA) on 14‑05‑2007 and sub‑leased about 5 acres to the petitioner for an IT‑electronics project.
- The sub‑lease required the respondent to provide power, water and sewerage connections (Clause “h” of the Second Schedule). The petitioner alleges the respondent failed to supply these despite repeated requests from 2010 to 2017.
- The respondent issued a revocation notice on 20‑09‑2023 alleging no construction and an unauthorised mortgage, invoking the SARFAESI Act. The petitioner disputes the revocation, claiming a No‑Objection Certificate was obtained and the respondent lacked authority to terminate.
- The respondent initiated eviction proceedings under the West Bengal Public Land (Eviction of Unauthorised Occupants) Act, 1962 before the First Land Acquisition Collector, Kolkata. The petitioner objected, invoking the arbitration clause.
- The petitioner served a notice on 08‑11‑2023 under Section 21 of the Arbitration Act proposing a former High Court judge as sole arbitrator; the respondent replied on 09‑12‑2023 denying arbitrability.
- Parallel proceedings under Section 9 of the Arbitration Act challenging the revocation are pending.
Final Outcome
- The Court held that Clause 5 of the Sub‑Lease Agreement constitutes a valid arbitration agreement and that the disputes are not manifestly non‑arbitrable.
- All objections relating to non‑arbitrability, severability, waiver, acquiescence, estoppel, and the pendency of eviction or DRT proceedings are left for determination by the arbitrator.
- Justice Jyotirmay Bhattacharya (Retd.) is appointed as the Sole Arbitrator.
- The arbitrator shall disclose under Section 12(1) of the Act, fix remuneration per the Fourth Schedule, and decide all issues of arbitrability, jurisdiction, limitation, and admissibility of claims.
Topics: Arbitration, Land Lease Dispute