UOI Vs. FORESIGHT SHIPPING CO

JUDGEMENT

(1.) This appeal under Section 39 of the Arbitration Act, 1940 has been preferred against the order dated 4th May, 2009 of the learned Single Judge dismissing the objections preferred by the appellant - Union of India to the arbitral award dated 22nd October, 1993. The respondent, a shipping company registered in Cyprus had preferred a claim for US$ 2,40,087.04 before the arbitral tribunal against the appellant.

(2.) The Arbitral Tribunal published a non speaking award for US$ 1,65,826.00 or its rupee equivalent to be converted at the rate of exchange ruling on the date of the award with interest at 11% per annum from 29th March, 1989 to the date of payment or decree whichever is earlier in favour of the respondent and against the appellant. The respondent was also awarded costs of arbitration quantified at US$ 1300.00 or its rupee equivalent converted at the rate of exchange ruling on the date of the award.

(3.) One of the arbitrators applied under Section 14(2) of the Act for filing the award in the Court and for making the same rule of the court. The appellant preferred objections under Sections 30 & 33 of the Act challenging inter alia the territorial jurisdiction of this Court to entertain the application under Section 14(2) of the Act and also contending that the award was vitiated by misconduct; that the arbitrators had not rendered a speaking award inspite of specific request made by the appellant in the appointment letter and making other challenged on the merits of the award; objection was also raised to award of interest at 11% per annum.