UNION OF INDIA Vs. SOHAN SINGH SETHI

JUDGEMENT

(1.) Respondent no.1 was awarded a contract by the petitioner for supply of vegetables to the supply depot, ASC Delhi Cantt for the period dated 01.10.1987 to 30.9.1988. Respondent no.1 made supplies for the period 01.10.1987 to 14.6.1988 and thereafter supplies were not made. There were inter se allegations in respect of the same. The petitioner resorted to risk purchase and purchased the vegetables.

(2.) In view of the existence of the arbitration clause in the contract for supply, the disputes were referred to the sole arbitration of Shri R.K. Saldhi, who made and published the award on 28.4.1989 awarding a sum of Rs.8,70,198.25 to the petitioner. The said award was challenged by respondent no.1. The learned single Judge examined the merits of the case but was of the view that since the arbitrator had not sent the records despite reminders, the award was liable to be set aside only on that ground. In terms of the orders passed in Suit No.1801- A/1989 decided on 27.2.1996, the award was set aside and the matter remitted was back for fresh adjudication by an arbitrator other than the said arbitrator.

(3.) The aforesaid resulted in fresh arbitration proceedings before Col. G.A. Nair, who has made and published his award dated 27.2.1997 awarding to the petitioner a sum of Rs.8,70,198.25. Respondent no.1 has once again filed the objections.