MAHANAGAR TELEPHONE NIGAM LIMITED Vs. HARYANA TELECOM LIMITED

JUDGEMENT

(1.) Mahanagar Telephone Nigam Limited ('MTNL') has filed this petition under Section 34 of the Arbitration and Conciliation Act, 1996 ('Act') challenging an Award dated 12th March, 2003 passed by the Arbitral Tribunal ('AT') in the disputes between MTNL and the Respondent, Haryana Telecom Limited ('HTL').

(2.) The background facts are that MTNL floated a tender dated 4th March, 1994 for procurement of 55 LCKM of underground Jelly Filled Telephone Cables ranging between 10 to 2400 pairs. Pursuant to the above tender, HTL submitted an offer which was accepted by MTNL. Pursuant thereto, MTNL issued the following Purchase Orders ('POs') to HTL:

(3.) The relevant clauses in the Contract pertaining to delays in the supplier's performance and levy of liquidated damages ('LD') read as under: