Parties Involved: The arbitration was between Texmo Pipes and Products Limited (the company) and Larsen and Toubro Limited.
Subject Matter: The proceedings adjudicated commercial matters and business disputes arising from business transactions between the two companies.
Arbitrator: The Hon'ble Sole Arbitrator was appointed by the Hon'ble Madras High Court, Chennai under the Arbitration and Conciliation Act, 1996.
Award Date: The arbitral award was passed on September 24, 2026.
Award Details: The award was partly in favor of Larsen and Toubro Limited. Texmo Pipes is ordered to pay an amount of ₹25.66 crore to the applicant (Larsen and Toubro).
Additional Liabilities: The awarded amount is to be paid with interest at the rate of eight percent per annum and costs.
Counter-Claims: The Hon'ble Sole Arbitrator dismissed all counter-claims filed by Texmo Pipes.
Outstanding Dues: The arbitrator also dismissed Texmo's claim for outstanding legitimate dues of ₹23.51 crore, stating that this matter was outside the scope and purview of the arbitration agreement. The award notes that Texmo is open to challenge this specific matter in another court of law or appropriate forum.
Financial Implications
The direct financial implication is a monetary award of ₹25.66 crore, plus interest at 8% per annum and costs.
Operational Impact & Company's Response
The company states it does not foresee any operational impact from this verdict.
The company and its counsels are currently analyzing and evaluating the award.
The company believes it has a strong case on merits and intends to take suitable legal recourse against the award.
