LAWS(DLH)-2012-3-208

METRO ELECTRIC CO Vs. DELHI DEVELOPMENT AUTHORITY

Decided On March 26, 2012
METRO ELECTRIC CO. Appellant
V/S
DELHI DEVELOPMENT AUTHORITY Respondents

JUDGEMENT

(1.) THESE are objections filed by the Delhi Development Authority ('DDA') under Sections 30 & 33 of the Arbitration Act, 1940 ('Act') to an Award dated 17th May 2000 passed by the learned Arbitrator arising out of the contract for construction of a local shopping centre near A-Block, Naraina Vihar by the DDA in favour of Metro Electric Company ('MEC'/'Claimant').

(2.) THERE were five items of claim filed by MEC before the learned Arbitrator. Claim No.1 was for a sum of Rs.2,56,210/- on account of final bill. The work had been completed by MEC on 7th January 1987. The claim was bifurcated into Sections A to G. The stand of the DDA was that since the Claimant had not completed the work, the contract was rescinded and the balance work was got executed at the risk and cost of the Claimant through another contractor. It was submitted by the DDA that after making the necessary recoveries, the Claimant was entitled to only Rs.31,158. After analyzing the evidence, the learned Arbitrator determined the justified amounts against each of items with reasons.

(3.) THE DDA objects to the Award in respect of 63 MCBs on the ground that the DDA had already paid for these MCBs to another agency which was provided in a separate agreement. It is submitted by the DDA that this part of the Award is not based on any evidence. Noting that 102 MCBs were handed over by MEC to the DDA, after accounting for the payment made for 36 MCBs, it was held that 66 MCBs were still to be paid. THE reasons given by the learned Arbitrator are cogent and are based on the evidence placed on record and do not call for any interference.