A R KHANNA Vs. DELHI DEVELOPMENT AUTHORITY

JUDGEMENT

(1.) THESE are the objections by the Delhi Development Authority (`DDA') under Section 30 and 33 of the Arbitration Act, 1940 (`Act') against an Award dated 19th June 2009 of the sole Arbitrator in the disputes between DDA and M/s A.R. Khanna & Sons arising out of the award of work of construction of 144 M.I.G. dwelling units at Ashok Vihar Phase-I, S Block by the DDA in favour of the Plaintiff. The learned Arbitrator by the impugned Award awarded an aggregate sum of Rs. 12,13,484 in favour of the Plaintiff together with pre-suit interest @ 14% per annum, pendente lite interest at 12% per annum and future interest at 10% per annum.

(2.) THIS Court has heard the submissions of Mr. Vivekanand, learned counsel for the Plaintiff and Ms. Geeta Mehrotra, learned counsel for DDA.

(3.) AS has been rightly observed by the learned Arbitrator, that in regard to the payments due from the contractor, the DDA filed counter-claims, and there was no specific provision in the contract for withholding amount for rectification of defects. In the absence of a specific provision in the contract permitting such withholding of amounts, the decision of the learned Arbitrator to allow the Plaintiff's claims to the extent of Rs. 61,300 cannot be said to be erroneous.