RAJ ESHWAR Vs. AAROHI BUILDER PRIVATE LIMITED

JUDGEMENT

(1.) By this IA the respondents seek to set aside the order dated 15.3.1995, the award dated 12.12.1994 whereby, in the proceedings under Sections 14-17 of the Arbitration Act (hereinreferred to as the 'Act'), has been made decree/rule of the court.

(2.) The say of the applicants/respondents, for the purpose of setting aside the order/decree dated 15.3.1995, is that the respondents have not been given the notice of the making of the award dated 12.12.1994 by the arbitrator at any point of time and that the respondents were not aware of the contents of the award till 15.9.1995 as it is only on 15.9.95 after meeting the petitioner that the respondents came to know about the contents of the award; that the award dated 12.12.94 was not made on 12.12.94; that no notice u/s. 14(1) of the Act by the arbitrator nor notice u/s. 14(2) of the Act by the court) have ever been issued to the respondents.

(3.) It has been stated in the petition that certain disputes had arisen between the petitioner and the respondents in respect of the transaction dated 22.12.91; that on 6.12.94 a settlement was reached whereby it was agreed that respondents would make payment of Rs.4,90,500.00 in full and final settlement of petitioner's claim; that the petitioner, however, wanted that there should be a decree for the said amount and so it was agreed that they will enter into an agreement for reference and get the award for Rs.4,90,500.00 and get it made rule of the court so that the respondent may not resile from the agreement and the petitioner also may not have to pay any court fee on the court decree; that accordingly, on 6.12.94, an agreement was entered into between the parties and the matter was referred to the sole arbitration of Shri D.R. Mahajan, Advocate, on that day; that on 6.12.94 itself, request was made by the parties to the arbitrator to enter upon the reference and the arbitrator gave a notice of the date of hearing of 12.12.94; that on 12.12.94 the statement of respondents 2 & 3 were recorded beforehe arbitrator and the petitioner also gave his statement on the same lines, as that of respondents 2 & 3, agreeing to pay and receive Rs.4,90,500.00 in full and final settlement of the claims; that in view of this mutual settlement, all the papers were got signed on the same day i.e. blank power of attorney (vakalatnama) and signatures were also taken on the proceeding sheets; that on the same day, written statement was also got signed from respondents 2 & 3 for getting the award made rule of the court. According to the respondents, the amount was agreed to be paid by September 1995 and that there is interpolation and the word 'SIXTH' which was not in the statement of Respondent No.2, recorded by the arbitrator and that he was also not aware that in default, his liability would be to pay Rs.l2,42,500.00 after 6th of September, 1995.