JK Agri Genetics has approached the Hon'ble High Court of Telangana at Hyderabad to seek the appointment of an arbitrator to resolve a commercial dispute with Agro Deal regarding outstanding payments of ₹67.74 lakh.

The company filed an application under Section 11(5) and 11(6) of the Arbitration and Conciliation Act, 1996, following Agro Deal's refusal to settle the balance. The matter was listed before the court on October 8, 2026.

Dispute Background and Financial Details

The litigation stems from a comprehensive wholesale agreement between JK Agri Genetics and Agro Deal, represented by proprietor Ram Kumar Rathi, for the supply of agricultural seeds. During the Kharif 2018 season, Agro Deal procured Paddy Variety JKRH-333 seeds on credit amounting to ₹9.51 crore.

After deducting all applicable discounts, incentives, and credit notes, the net amount payable by Agro Deal was calculated at ₹4.62 crore. The respondent made part payments totaling ₹3.94 crore, with the last payment recorded in the first week of August 2023. This left a balance of ₹67.74 lakh outstanding.

Procedural Timeline

JK Agri Genetics issued a legal demand notice on May 25, 2026, calling for payment of the outstanding balance and invoking the arbitration clause. Agro Deal disputed the claim via email and a reply notice dated July 3, 2026. Consequently, the company moved the High Court to initiate the arbitration process.

What the Numbers Show

The financial data reveals a significant recovery trajectory over the period. Of the initial net liability of ₹4.62 crore, Agro Deal cleared ₹3.94 crore, representing approximately 85% of the adjusted debt. The remaining ₹67.74 lakh constitutes roughly 15% of the net payable amount. The dispute highlights a collection challenge where the majority of dues were settled, but a residual balance remained contested despite multiple correspondences and legal notices.

The 12th Additional Chief Judge, City Civil Court, Secunderabad has dismissed a civil recovery suit filed by JK Agri Genetics seeking ₹0.43 crore from an insurer.

The order, dated July 17, 2026 and received on August 31, 2026, concludes a legal dispute initiated in 2018 regarding a denied claim for damaged cumin seeds.

Case Background

JK Agri Genetics had taken a Marine Turnover Policy in 2014 from Bajaj Allianz General Insurance Company Ltd to cover seed damage in transit. A consignment of cumin seeds was damaged that year, leading the company to file a claim for ₹0.43 crore.

Bajaj Allianz refused the claim. After a legal notice in December 2017 went unanswered, JK Agri Genetics filed a Civil Recovery Suit in 2018 with the Secunderabad court. The suit sought the claim amount plus interest from the date of the claim.

Legal Outcome

Final arguments in the case were completed in December 2025. The court’s recent order dismissed the company’s suit.

JK Agri Genetics stated it intends to contest the order before the appropriate court based on legal counsel advice. The company maintains it has a strong case for realizing the ₹0.43 crore claim amount, excluding interest.

What the Numbers Show

The dismissed claim represents a potential recovery of ₹0.43 crore. While the absolute value is modest relative to typical listed company revenues, the prolonged litigation since 2018 indicates significant legal resource allocation for a relatively small financial exposure.