DDA Vs. PARAGON CONSTRUCTION(INDIA)PVT LTD

JUDGEMENT

(1.) CM 926/2015

(2.) EARLIER , an Award was made under the Arbitration Act, 1940 on 29.03.1986. That was set aside and the matter was remanded to the Arbitrator by virtue of an order of a Division Bench of this Court dated 03.11.2009 in FAO(OS) 695/2006. On that occasion, the Arbitrator had awarded an interest at the rate of 10% per annum. The same has been enhanced by the learned Single Judge to 12% per annum. However, the Award and the order passed by the learned Single Judge were set aside and the matter was remitted to the Arbitrator, as indicated above.

(3.) THE learned Arbitrator, on the second round, awarded the interest at the rate of 12% per annum. The learned counsel for the appellant submits that the rate of interest should be 10% and not 12% inasmuch as the appellant had deposited the principal amount along with interest at the rate of 12% in April, 2007, when the matter was pending before the Division Bench.