S. K. SAMANTA Vs. SOUTH EASTERN COALFIELDS LIMITED

JUDGEMENT

(1.) Since the facts and issues involved in these four arbitration request petitions are similar, they are being considered and decided by this common order and ARBR No. 48/2024 is taken as the lead case.

(2.) The applicant-S.K.Samanta and Co. (Pvt.) Ltd. has filed these arbitration request petitions under Sec. 11(6) of the Arbitration and Conciliation Act, 1996 seeking appointment of a Sole Arbitrator for adjudicating the dispute that has arisen between the parties.

(3.) The facts, in brief, as projected by the applicant {in ARBR No. 48/2024} is that the applicant Company is an ISO 9001-2008 Company started civil construction contracts as a proprietary / partnership firm has been in the business of executing EPC Contracts ever since its incorporation in 1982 in a wide arena of projects pertaining to Central and State Governments, Public Sector Companies, Railways, Power Plants, Steel Plant, Mines, Roads, Bridges etc. Pursuant to a Notice Inviting Tender (for short, the NIT) being NIT No. GM(C)/SECL/BSP/Et-Tk/ GVR/2020/185 dtd. 15/6/2020 issued on behalf of the respondent No. 1-South Eastern Coalfields Ltd. (for short, the SECL) inviting tenders for carrying out work of design, and commissioning of workshop and store of Gevra OCP, including maintenance during defect liability period (DLP), on turnkey basis, the applicant submitted its bid/offer for the said work. The said NIT comprised of, inter alia, 'Instructions to Bidders' (for short, the ITB) and 'General Terms and Conditions of Contract' (for short, the GCC). The offer of the applicant was accepted and a Letter of Award Ref. No. GM(C)/SECL/BSP/WO/GVR/2020/95 dtd. 8/11/2020 was issued in favour of the applicant for the said work. Clause 31 and 32 of the ITB provided that an amount of 1% of the work value payable to the contractors will be deducted from all bills towards worker's welfare under Building and Other Construction Worker's Welfare Cess Rules, 1998 and Building and other Construction Workers Welfare Cess Act, 1996. In terms of the provisions of clause 20.5 of ITB, a formal agreement dtd. 6/3/2021 was executed between the parties for carrying out the said work covered by the Purchase Order. The ITB and the GCC were part of the agreement dtd. 6/3/2021. While making payment of running invoices/ bills of the applicant, the respondent-SECL started deducting cess in terms of clause 31 of the ITB as set out above.