UNION OF INDIA Vs. BHAVNA ENGINEERING COMPANY

JUDGEMENT

(1.) The challenge in this appeal is to the order dated 11-1-2005 of the High Court of Madhya Pradesh at Gwalior passed in Writ Petition No. 1106 of 2004 affirming the order of the Sixth Additional District Judge, Gwalior dismissing the Sec. 34 application as being barred by limitation. Both the Additional District Judge and the High Court have held that Sec. 14 of the Limitation Act, 1963, (in short "the Act"), is not applicable in arbitral proceedings.

(2.) This Court in a recent judgment rendered in State of Goa V/s. Western Builders, 2006 6 SCC 239 held that Sec. 14 of the Limitation Act, 1963 is applicable in the arbitration and conciliation proceedings. Having gone through the various facts, we are of the view that the mistake committed by the appellant in approaching the Madhya Pradesh High Court and the Bombay High Court is bona fide. We, therefore, condone the delay. In the facts of this case and in the interest of justice, we, however, think it proper that the Sec. 34 application pending before the Additional District Judge, Gwalior be transferred to the Bombay High Court. The application will be decided on merits expeditiously. Parties are at liberty to urge all the contentions before that Court.

(3.) Interim order passed by this Court shall continue for six months.