PROGRESSIVE INFOTECH PRIVATE LIMITED Vs. IRCON INTERNATIONAL LTD.

JUDGEMENT

(1.) The present petition under Sec. 14 read with Sec. 15 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as "A&C Act, 1996 ") has been filed by the petitioner for removal of Ld. Arbitrator and appointment in lieu thereof.

(2.) Facts in brief are that the petitioner, engaged in the business of providing IT infrastructure services and systems integration,was awarded a Tender by the respondent vide Purchase Order no. IRCON/IT/PUR./SAKET/THIN CLIENT/92 dtd. 11/4/2007 for supply, installation, testing commissioning and maintenance of hardware and system software for 64 bit UNIX/64bit LINUX based thin client solution and its associated servers, storage and backup Solution at the Respondent 's Corporate Office at Saket, New Delhi. A Contract dtd. 15/5/2007 was accordingly executed between the petitioner and the respondent. The total value of the Purchase Order was ?1,11,34,350/- outof which 10% of the amount was to be released on successful completion and commissioning of the project.

(3.) It is submitted that the Solution was accepted on 31/3/2008 vide the Petitioner 's Letter dtd. 25/3/2008 and Milestone-II payment linked to acceptance was released on 31/3/2008. Thereafter, 10% balance money became due after one year of the acceptance testing i.e. on 31/3/2009 as per the terms of the Purchase Order. However, the money was not released by the respondent on frivolous issues and by raising demands which were not within the purview of the Contract.