VICTOR CABLE INDUSTRIES LIMITED Vs. DELHI VIDUT BOARD

JUDGEMENT

(1.) This order shall govern the disposal of EA. NO. 463/2000 filed by the judgment debtor/DVB for recall of order dated 10/10/2000 whereby this Court had ordered issuance of warrant of attachment against the applicant. Briefly narrated the facts leading to this application are that judgment debtor/applicant/DVB, had placed two purchase orders one dated 30/01/1990 and the other dated 11/ 12/03/1992 on the decree) holder for supply of cables. Some disputes arose between the parties in respect of first pay order dated 30/01/1990 which were referred to the sole arbitrator Mr.O.P. Anand, the then Additional General Manager (T&D) for adjudication. Mr. Anand made award dated 29/09/1993 which was filed in the Court. The petition for making the Award a rule of the Court was registered as' a suit No. 35/94. The award was, made rule of the Court on 15/01/1995 as there was no "appearance from the other side. Accordingly, a decree was drawn in favour of the DVB against the contractor who is the petitioner herein. The applicant DVB then filed an execution petition being 138/97 where on notices were|-ordered to be issued to the contractor M/s Victor Cable Industries Limited. Later on some disputes arose regarding the other purchase order dated 11/ 12/03/1992 also and vide order dated 8/11/1994 the matter was referred to/ the arbitrator to be appointed by DVB. Accordingly, DVB appointed, the then Chief Engineer (Distribution .1) who passed an award dated 6/02/1996. DVB/ applicant filed its objections against the said award dated 6/02/1996 but its objections were rejected and the said award dated 6/02/1996 was also made rule of the Court vide order dated 26/09/1998 and the decree was accordingly drawn. Thus two decrees came into being one in favour of the DVB and the other in favour of Their execution proceedings relate to decree dated 16/09/1998 in favour of contractor. DVB has now filed the present application pleading that in April 1999 the amount payable by DVB to the Contractor company in respect of the decree dated 26/09/1998 in suit No. 605A/96 amounted to R.s. 1,65,37,720.65

(2.) whereas the amount which was due to the DVB in the decree passed on 15/01/1995 in suit No.35A/94 against the said contractor company, amounted to Rs. 78,09,367.90. The DVB suo moto adjusted the amount due to- it against the 'amount payable by it in respect of the decree passed in suit No. 605A/96 on 26th September,' i998 leaving a balance of Rs. 87,28,352.75 payable by DVB to M/s Victor Cable Industries Limited. This balance amount has been paid to M/s Victor Cable Industries Limited. Thus according to the DVB both the decrees viz. the lone passed in suit No. .35A/94 on 15/01/1995 and the other passed on 26/09/1998 in suit No. 605A/96 stand duly satisfied. The DVB had filed the execution NO. 138/97 against the said contractor company in respect of the decree passed in the suit No. 35A/94. But later on the said execution was withdrawn on 30/09/1999 because of the adjustment referred to above.

(3.) The Contractor company has already filed an application for setting aside tne ex parte decree in suit No. 35A/94 and that application.is still pending. The Contractor company also filed the present execution application being Ex.No.200/2000 in respect of judgment/decree dated 26/10/1998 for recovery of the balance amount along with interest which comes to Rs. 99 lacs as on 15/09/2000, the date of filing of this execution petition. The Court vide order dated 10th October, 2000 had ordered issuance of warrant of attachment against the DVB and now DVB has come up with the present application IA.No. 463/00 pleading that with the adjustment of decretal amount of decree dated 12/01/1995 in its favour against the decretal amount due to the contractor company in respect of decree dated 26/10/1998 and with the payment of the balance amount Rs. 87,28,352.75 both the decree stood satisfied and therefore the order dated 10/10/2000 issuing warrant of attachment against the DVB be recalled. The application has been contested by the Contractor Company on various grounds. It has alleged that the arbitrator had misconducted himself in the first arbitration proceedings and the Court order making the award dated 29/09/1993 a rule of the"court was passed ex parte. The contractor company has already filed application for setting aside the said ex parte decree which is still pending disposal. The contractor company has admitted that DVB has paid a sum of Rs.87,28,352.7 in respect of decree dated 26/10/1998 but it contended that the balance amount is still due and the DVB. was not entitled to make suo moto adjustment against the said decree nor the company approves any such adjustment.