V U SEEMON Vs. NTPC

JUDGEMENT

(1.) The petitioner was assigned the work of construction of boundary wall and chain link fencing at Auraiya Gas Power Project in pursuance to the Telex of Award dated 30.04.1987. The Letter of Award was subsequently issued on 25.05.1987. The project was to be completed within a period of 18 months in phases. No escalation was payable during this period of time in view of the following clause :-

(2.) The project could not be executed within the specified period and there was a delay of about 22 months. The petitioner claimed compensation for the delay.

(3.) In view of the arbitration clause between the parties, the designated authority of the respondent appointed Mr. N.S. Chaudhary, the then AGM (I/C) of the Auraiya Gas Power Project as the Sole Arbitrator. The Arbitrator continued the arbitral proceedings even though he subsequently assumed the office of Executive Director (JV and C) and made and published the Award dated 01.12.2004 The said Award has been filed in Court.