Lok Sabha on Friday passed a Bill that will help India become a hub for domestic and global arbitration for settling commercial disputes. It was passed through a voice vote.
No one moved any amendment as the two members — Shashi Tharoor of Congress and N K Premachandran of RSP, who had given notices on this count — were not present.
Responding to the debate on the Arbitration and Conciliation (Amendment) Bill 2018, Law Minister Ravi Shankar Prasad said the new legislation provided for time-bound settlement of disputes as well as accountability of the arbitrator. He said: “It is a momentous and important legislation. We want India to become a hub of domestic and international arbitration.”
Congress member Sunil Jakhar said the Rafale fighter jet deal would end up in arbitration, which would be the biggest arbitration case after the one on the Bhopal gas tragedy. He alleged that businessmen close to the government got their companies registered in the BSE just days before the deal was clinched. “The minister should inform the House why this (Rafale) deal will not end up in the arbitration seat. Whether the Rafale deal will end up in arbitration seat in India or the Hague?”
Rajya Sabha passes 2 Bills
The Rajya Sabha on Friday passed an amendment Bill to permit home buyers to be treated as financial creditors. As per the Bankruptcy Code (Second Amendment) Bill 2018, home buyers will be represented on the Committee of Creditors that decides on resolution proposals, making them an integral part of the decision-making process.
Replying to the debate on the Bill, Finance Minister Piyush Goyal said the government’s objective was to help small bankrupt firms and also take a tough stand against big bankrupt businesses.
The Upper House passed another Bill for setting up of commercial courts at the district level so that commercial disputes can be disposed of quickly. Law Minister Ravi Shankar Prasad said the law would help small businesses get their disputes resolved like big ones.