DDA Vs. MANOHAR LAL AND CO

JUDGEMENT

(1.) The DDA awarded the work for development of land for industrial area in Mongolpuri Industrial Area to Manohar Lal and Company in pursuance to agreement dated 28/EE/ND-25/DDA/85-86. Dispute arose between the parties which resulted in the rescission of the contract on 23.01.1990. In view of Clause 25 of the terms and conditions agreed to between the parties, same being the arbitration clause, the engineer-member DDA referred the matter to a sole arbitrator. There were series of arbitrators appointed and finally Sh. Som Dutt was appointed as the sole arbitrator, who made and published his award dated 08.01.2002.

(2.) Both the parties have filed objections u/s 34 of the arbitration and Conciliation Act, 1996 (hereinafter referred to as said Act).

(3.) Learned counsel for the parties state that they are conscious of the fact that scrutiny of this court in such objections has to be within the parameters of Section 34(2) of the said Act as elucidated by the apex court in ONGC v. SAW Pipes Ltd (2003) 4 Scale 92. The Supreme Court expanded the ambit of the phrase 'public policy of India' used in Section 34 of the said Act by giving it a wider meaning and observed, by including aspects such as fundamental policy of Indian Law, the interest of India, justice or morality or the award being patently illegal, in Para 31 as under: