INDRAPRASTHA POWER GENERATION CO LTD Vs. HARVINDER SINGH

JUDGEMENT

(1.) These are the objections under Section 34 of the Arbitration and Conciliation Act, 1996 (the Act) preferred to assail the award dated 10.8.2009 passed by the learned Sole Arbitrator Shri S.M. Chopra, Former Additional District and Sessions Judge in relation to the claims made by the respondent contractor-claimant M/s Harvinder Singh & Co. against the petitioner-Indraprastha Power Generation Co. Ltd.

(2.) The petitioner issued an NIT for removal of 3,00,000 cum of ash deposit. The respondent submitted its bid. The petitioner vide the letter dated 20.01.2003 (Exhibit C-1) conveyed the intention of the petitioner to offer a quantity of 1,80,000 cubic metres of fly ash to the respondent at the negotiated rate of Rs.55.50 cubic metre to be completed in seven months, subject to the condition that the respondent extends the validity of its offer for the balance quantity, i.e., 1,20,000 cubic metres for seven months from the date of start of work of initial offer (i.e. pertaining to 1,80,000 cum). The respondent was required to submit its acceptance, if the terms were acceptable to it, before a formal letter of intent was issued.

(3.) Vide letter dated 21.01.2003 (Exhibit C-2), the respondent gave its acceptance of the conditions imposed by the petitioner. A letter of intent dated 21.01.2003 was consequently issued by the petitioner, awarding the contract for a quantity of 1,80,000 cubic metres of ash disposal work. The date of commencement of the work was to be reckoned from the 15 th day of issue of the letter of intent and the entire work was to be completed within a period of seven months. Accordingly, the date of the commencement was reckoned as 04.02.2003 and the date of completion was stipulated as 03.09.2003.