New Delhi: The government proposes to set up an arbitration council of India which would grade institutions involved in alternative dispute resolution involving commercial issues, Law Minister Ravi Shankar Prasad said today.
He said with India attracting investments, it was essential to provide for a reliable platform, which includes arbitration, to handle commercial disputes. After the Union Cabinet last night approved the Arbitration and Conciliation (Amendment) Bill, 2018 to encourage institutional arbitration for settlement of disputes, his ministry would take the bill to Parliament in the ongoing Budget session.
The amendments will facilitate speedy appointment of arbitrators through designated arbitral institutions by the Supreme Court or a high court, without having any requirement to approach the court in this regard, he said.
The amendment also provides for creation of an independent body -- the Arbitration Council of India (ACI) -- which will grade arbitral institution and accredit arbitrators by laying down norms and take all such steps as may be necessary to promote and encourage arbitration, conciliation, mediation and other alternative dispute resolution mechanism.
The ACI chairperson will be a person who has been a judge of the Supreme Court or chief justice or judge of any high court or any eminent person.
It is proposed to provide that the time limit for arbitral award in other arbitrations will be within 12 months from the completion of the pleadings of the parties, he said quoting the decision of the cabinet.