Telangana High Court
Shareholder's Loss Of Control In Hotel Project During CIRP Not Deprivation Of Property Under Article 300A: Telangana HC
The Telangana High Court has upheld the State's decision to grant consent for a change in control of a Hyderabad hotel project under an insolvency resolution plan, holding that a shareholder cannot claim a vested right to retain control over the corporate debtor and that any loss suffered is merely a commercial consequence of the insolvency process, not a deprivation of property under Article 300A. "It cannot be construed as a deprivation of property dehors the authority of law. The appellant,...
Separate GST Liability Orders Must Be Issued To Enable Appeals By Company And MD: Telangana High Court
The Telangana High Court on 8 April, held that a single, composite GST liability order against a company and its Managing Director cannot be used to deny them independent appellate remedies. The Division Bench of Chief Justice Aparesh Kumar Singh and Justice G.M. Mohiuddin allowed writ petitions filed by Sugna Metal Limited and its Managing Director, and directed tax authorities to issue separate orders. The judges held: “...,the Managing Director (petitioner in W.P.No.9166 of 2026), after...
Railways' SCR Treasury Account Not Immune To Attachment Without Proof Of Exempt Funds: Telangana High Court
The Telangana High Court has recently held that the Railways' SCR treasury account is not immune from attachment in execution proceedings in their entirety and that only specifically identifiable exempt amounts can be protected. Clarifying that exemptions under Section 60 of the Civil Procedure Code apply only to identifiable portions of funds and not entire accounts, the Court said, “It is also pertinent to note that the proviso to section 60(1) of the CPC carve-out exceptions from...
Telangana High Court Sets Aside Order Directing Swiggy To Furnish ₹58.6 Lakh Security In Recovery Suit
The Telangana High Court has recently set aside an order directing online food delivery platform Swiggy to furnish Rs 58.60 lakh as security or face attachment of its bank account before judgment in a money recovery suit over alleged unpaid dues for supplies. It held that such attachment cannot be ordered in the absence of material satisfying the requirements under Order XXXVIII Rule 5 of the Civil Procedure Code.Order XXXVIII Rule 5 CPC empowers a court to direct a defendant to furnish security...
Provision For Termination Of Arbitrator's Mandate Cannot Be Used To Challenge His Appointment: Telangana High Court
The Telangana High Court has recently held that Section 14 of the Arbitration and Conciliation Act, 1996 (provision for termination of an arbitrator's mandate) is a narrow provision and cannot be used to indirectly challenge the validity of an arbitrator's appointment once that issue has attained finality. Justice K. Lakshman dismissed an application filed by Galore Infratech Pvt. Ltd. under Sections 14, 15 and 11 of the Act. The company had sought termination of the arbitrator's mandate and...
Exclusion Of EWS/LIG Allottees From Housing Society Violates Articles 14, 21 Of The Constitution: Telangana High Court
The Telangana High Court has held that a housing society that excludes economically weaker sections (EWS) and lower-income group (LIG) allottees is unsustainable in law. It observed that excluding such allottees from access to common facilities is violative of the principle of equality under Article 14 and undermines their right to dignified living under Article 21. Dismissing a writ appeal filed by the Pristine Estates Villa Owners Maintenance Mutually Aided Co-operative Society Limited, the...
Education Not Commercial Activity: Telangana High Court In Arbitration Dispute Over SVIT, Bolton School
Education should not be treated as a mere commercial activity driven solely by management interests, the Telangana High Court has observed, emphasising that disputes over control of institutions must not be carried on at the cost of students, teachers, and academic functioning. The observation came while the Court was dealing with a dispute between Mahbub College Society and Venkat Narayana Educational Society (VNES) over the management of institutions including the Swami Vivekananda Institute...
Telangana High Court Restrains RUSAL-Linked Firm From Transferring Pioneer Aluminium Shares In ₹2840 Crore Arbitral Award Enforcement
The Telangana High Court has recently restrained AL Plus Holding LLC, a subsidiary of award-debtor United Company RUSAL International PJSC, from transferring its 26% shareholding in Pioneer Aluminium Industries Limited while hearing enforcement proceedings of foreign arbitral awards worth about Rs 2,840 crore obtained by OWH SE i.L. A single bench of Justice T. Madhavi Devi directed that “this Court is inclined to direct the respondent No.2 not to transfer its shares in Pioneer Aluminum...
Jurisdictional Objection Rejected By Arbitrator Cannot Be Challenged Under Article 227: Telengana High Court
The Telangana High Court has recently held that its supervisory jurisdiction under Article 227 of the Constitution cannot be invoked to challenge an arbitral tribunal's rejection of a jurisdictional objection when the Arbitration and Conciliation Act, 1996 provides a specific post-award remedy. Dismissing a writ petition filed by Sagar Asia Private Limited, a Division Bench of Justice Moushumi Bhattacharya and Justice Gadi Praveen Kumar held that the petitioner must await the arbitral award and...
Pre-Litigation Mediation Mandate Cannot Be Used To 'Cold-Storage' Urgent Commercial Suits: Telangana High Court
The Telangana High Court has recently observed that mandatory pre-litigation mediation cannot be used to stall urgent commercial suits. Section 12A of the Commercial Courts Act, it said, cannot “cold-storage urgent claims.” Nor can it be used for “arm-twisting” a plaintiff seeking interim protection. A Division Bench of Justice Moushumi Bhattacharya and Justice Gadi Praveen Kumar dismissed a revision plea, upholding an order of the Commercial Court which exempted Ras Al Khaimah Investment...
'Not Unknown to Law': Telangana High Court Upholds Reserve Price Reduction After Repeated Failed SARFAESI Auctions
The Telangana High Court has recently upheld the phased reduction of the reserve price fixed for the auction sale of a mortgaged immovable property under the SARFAESI Act and dismissed writ petitions filed by the borrower. A Division Bench of Justice Moushumi Bhattacharya and Justice Gadi Praveen Kumar affirmed the order of the Debts Recovery Appellate Tribunal and observed that “the process of marking down of the Reserve Price is not unknown to law.” The Bench examined Rule 8(5) of the...
Telangana High Court Restrains Ex Karix Mobile Employees From Sharing Trade Secrets With Competitor
Holding that the sudden loss of a major client gave rise to an “unshakable inference” of breach of confidence, the Telangana High Court has set aside a trial court order and granted interim protection to Karix Mobile Private Limited against its former senior employees who joined competitor OneXtel Limited. A Division Bench of Justice Moushumi Bhattacharya and Justice Gadi Praveen Kumar allowed the appeal and overturned the October 6, 2025 order of the trial court, which had rejected Karix's...