19. The issues which arise for consideration in this appeal are as under: (i) whether an Award-Debtor is liable to pay interest on the amount deposited by it in accordance with Order XXI Rule 1 of the Code before the Court? and (ii) whether the deposit was made by the appellant in accordance with Order XXI Rule 1 of the Code and therefore, its liability to pay interest had ceased?

25. From the foregoing authorities, the following principles may be distilled:

(i) The 1996 Act is a self-contained code. Section 36(1) contains a legal fiction by which Award passed under the 1996 Act is made executable as if it were a decree of the court.

(ii) Section 36(3) of the 1996 Act provides that the court while dealing with an application of stay of an Arbitral Award for payment of money shall have due regard to provisions for grant of stay of money decree under the Code.

(iii) The real effect of deposit of money in the court is to put the money beyond the reach of the parties.

(iv) A deposit of the amount in the court has to be made unconditionally and the same must be available to the decree-holder for withdrawal, in order to make the deposit in consonance with Order XXI Rule 1 of the Code.

(v) If the Decree-Holder is permitted to withdraw the amount only on furnishing security, it amounts to payment not made in the satisfaction of the decree and not in accordance with Order XXI Rule 1 of the Code.

(vi) If the deposit is not made in terms of Order XXI Rule 1 of the Code, the interest continues to run on the amount after the deposit.

(vii) A decree-holder cannot claim interest on deposit if he fails to take any action seeking withdrawal of the amount. Such inaction shall be treated as deemed refusal of the tender of the amount.

(viii) Where the sum deposited by the Judgment-debtor is converted and is held as fixed deposit at Decree-holder’s own request, he shall only be entitled to interest accrued on such fixed deposit.

(ix) Where only a part of outstanding sum is deposited or tendered which is available for withdrawal by the Award-holder/Decree-holder unconditionally, accrual of interest shall cease only on such deposit, and the remaining part will continue to attract interest at the applicable rate.

28. For the aforementioned reasons, the first issue is answered in the affirmative by stating that if payment is made by an Award-Debtor in accordance with Order XXI Rule 1 of the Code, the liability to pay interest on such deposit ceases. The appellant in the instant case did not make the deposit in consonance with Order XXI Rule 1 of the Code, and therefore, liability to pay interest did not cease. The second issue is answered accordingly.