*CM’s speech at IAMC seminar on 4th Dec., 2021
Respected Chief Justice of India NV Ramana garu, Justice Lavu Nageswara Rao , Justice Subhash Reddy , Justice Hima Kohli , Justice PS Narasimha, Chief Justice Satish Chandra Sharma , Justice RV Raveendran , my colleague Ministers, senior officers, speakers, members of the legal fraternity, members of Trade and Industries associations, representatives of Chartered Accountancy firms and Company Secretaries firms, members of press and electronic media, distinguished invitees, ladies and gentlemen.
On behalf of the Government of Telangana and the people of Telangana, I would like to express my heartfelt gratitude to the Chief Justice of India, N.V. Ramana for his decision to set up an International Arbitration and Mediation Centre in Hyderabad.
All of us are aware that since ancient time, in India, settlement of disputes by village elders has been prevailing. The new trend of Alternative Dispute Resolution system is stemmed from that traditional resolution of disputes at Rachhabanda in olden days. Now the Arbitration is recognized one of the best modes of Alternate Dispute Resolution.
India embarked on the liberalization of the economy, particularly Industrial & Finance Sector as a strategy for economic growth three decades ago. We know that ease of doing business and efficient enforcement of contracts are very critical for the growth of the economy. Unfortunately, India is lagging behind when it comes to enforcement of contracts. Though it is very late in establishing such a Centre in the country, we should be happy that it is coming up now and in Hyderabad.
Hyderabad is a very appropriate choice, given its thriving IT and industrial sectors, and best quality supporting infrastructure like airport and hotels, and our central location and excellent connectivity with rest of the country and the world. Hyderabad has emerged as a global city in the recent past.
The presence of several Global Fortune 500 Companies in Hyderabad is the testimony to it. Hyderabad is a multi-cultural, multilingual city for centuries. Further, with its moderate climate, Hyderabad is the best option to locate this Centre. I once again thank the Chief Justice of India, N.V. Ramana for selecting Hyderabad to locate the International Arbitration and Mediation Centre.
I am aware that sometimes due to various reasons beyond control, companies do end up facing contractual disputes and other forms of litigation with their suppliers, customers or partners. Sometimes, even the Central and State governments becomes a party to such litigations.
Practical experience of last so many decades show that due to a variety of structural reasons, including insufficient number of courts and judges, the litigation get prolonged and adversely affect the functioning and balance sheets of the affected companies. The alternate dispute resolution mechanism that the proposed Arbitration and Mediation Centre provides would be of tremendous value to the industries and business in India. Due to absence of such a facility hitherto in our country, I am aware that many companies have to face enormous challenges in getting their disputes resolved in courts and centres located in foreign cities like Singapore, Paris, Dubai and London.
On behalf of the Telangana Government, I am happy that we have been able to create a 25,000 sq. ft., facility to start the centre without any delay. At the same time, we have decided to provide a suitable land parcel for construction of a permanent building for the Centre. I am confident that under the personal stewardship of respected Chief Justice of India NV Ramana, ably assisted by other Trustees like Justice Nageswara Rao and Justice RP Raveendran , the Centre will receive huge patronage not just from our state and the whole country, but also from the entire Asia, thereby making it stand out as a premier institution of global repute. I am happy that the formal inauguration of the Centre is taking place in another fortnight‘s time. I convey my best wishes for the tremendous success of this Centre.