ARCHANA STEEL PRIVATE LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) These are objections preferred by the Petitioner under Sections 30 & 33 of the Arbitration Act, 1940 to the award dated 28.04.2008 made by the Sole Arbitrator Smt. Chetna Kumar, Financial Adviser and Chief Accounts Officer/Finance & General, Northern Railways, Baroda House, New Delhi. The learned Arbitrator, by the impugned award has allowed the claim of the Respondent, Union of India of Rs. 17,63,096/- along with interest @ 10% per annum. The learned Arbitrator has rejected the counter claim of the Petitioner for Rs. 6,40,000/-.

(2.) In relation to the disputes which arose between the parties Sh. S.A. Singh, Sole Arbitrator and CME/Planning Northern Railway, Baroda House, New Delhi made an unreasoned award bearing No. CME/SAS/ARB/91/1 dated 01.09.1993. The Union of India was the claimant. The claim was for a sum of Rs. 17,63,096/-. The objector/contractor had filed a counter claim of Rs. 6,40,000/-. The arbitrator awarded Rs. 5,60,000/- apart from interest and costs in favour of the Union of India. This award was challenged by the Petitioner by filing I.A. No. 6484/1996 in CS(OS) No. 2240/1993. The said application was disposed of vide order dated 08.12.2004.

(3.) The court observed that It appears that the counter claims of Respondent was not at all considered. The court further observed ? perusal of the award shows that not a word has been said therein about the counter claims of the Respondent. Learned Counsel for the objector has cited case law to the effect that if the arbitrator does not consider the counter claims of the Respondent, award is to be set aside on the ground of misconduct.