SURYA DOMESTIC APPLIANCES Vs. UNION OF INDIA

JUDGEMENT

(1.) IA No. 2232/1997 (U/S 30 and 33 of the Arbitration Act, 1940) 1. A contract was awarded to the petitioner dated 24.10.1991 for supply of 3370 containers for portable food at a cost of Rs.745/- per piece. The supplies were never made and in view thereof the defendant proceeded for risk purchase and detained the amounts of the petitioner in respect of the said amount. This resulted in disputes arising between the parties and in view of the arbitration clause and the General Terms and Conditions of Contract, Shri Ram Bahadur, Additional Legal Adviser to the Government of India was appointed as the Sole Arbitrator. The Arbitrator made and published the Award dated 29.12.1995. The petitioner aggrieved by the same has filed the present objections under Sections 30 and 33 of the Arbitration Act, 1940 ( hereinafter to be referred to as, 'the said Act').

(2.) Learned counsel for the petitioner, conscious of the scope of enquiry by the Court in such proceedings, contended that the Award is liable to be interfered with on account of the following reasons:

(3.) The scope of dispute is extremely limited since Claim No. 1 of the respondent was that it was entitled to retain the amount of Rs.1,36,678/- towards risk purchase, while the petitioner claimed the said amount as Counter Claim No. 2. The submissions of learned counsel for the petitioner are confined to only the said issue.