Coimbatore, October 12, 2026: Champion Textiles Ltd. triumphed in a property dispute, as an arbitral tribunal mandated JMJ Housing Ltd. and its director to pay ₹7.75 crore in compensation. The decision arose from differences over a residential development project initiated under a Joint Development Agreement (JDA) within Coimbatore’s Pattanam village.
Justice T. Ravindran, a former Madras High Court judge, presided as the sole arbitrator in this case, officially recorded as Arb. O.P. (Com. Div.) No. 394 of 2024. This ruling came after thorough scrutiny of documentary evidence and testimonies presented by both parties involved in the dispute.
The conflict began when Champion Textiles, led by Managing Director V.R.S. Natarajan, entered into the JDA with JMJ Housing, represented by director Wilson P. Thomas. This agreement, signed on January 19, 2022, outlined specific conditions for the construction and development of the residential property.
According to Champion Textiles, significant deviations from the agreement surfaced, particularly regarding illegal transfers of certain plots to third parties, which they asserted breached the contract and the associated General Power of Attorney. The company criticized the lack of requisite composite agreements with prospective buyers before the transfer of property transactions.
In response, JMJ Housing’s representatives argued that they had conducted substantial preparatory work and had made considerable investments in the development project. However, after evaluating the evidence, the tribunal ruled in favor of Champion Textiles, affirming that JMJ Housing’s actions violated key elements of their contractual obligations.
The tribunal’s ruling not only clarified the responsibilities outlined in the JDA but also addressed the legitimacy of the disputed property transfers. Their ruling called for the cancellation of these transactions to restore compliance with the agreed contractual terms.
The financial aspects of the verdict included two distinct compensation components. JMJ Housing and its director must pay Champion Textiles ₹6.75 crore, accruing interest at an 18% rate per annum starting from March 13, 2025, till full payment is realized. Additionally, the tribunal awarded an extra ₹1 crore, also bearing 18% interest from the date of the ruling until payment completion. This brings the total compensation to ₹7.75 crore, excluding any additional costs incurred.
Aside from financial compensation, the ruling emphasized the cancellation of ten specific sale deeds connected to the contested property. The tribunal provided directives requiring the respondents to hand over vacant possession of the property to Champion Textiles within one month from the award’s date.
The findings illuminate the ongoing legal tensions between the involved parties. The arbitration proceedings documented various competing claims surrounding contractual duties, the extent of development conducted, and the legitimacy of transactions involving third parties.
While Champion Textiles sought the annulment of the disputed contracts, restoration of possession of the property, and financial recompense, JMJ Housing resisted these claims and requested a dismissal. The tribunal’s award encapsulates a comprehensive evaluation of the evidence and the contractual requirements binding both parties.
This award took effect on October 12, 2026, marking a significant milestone in the legal battle over this property development in Coimbatore. The ramifications for both parties will now hinge on the enforcement of the tribunal’s decisions moving forward.
