LAWS(DLH)-1987-10-24

V P MEHTA Vs. UNION OF INDIA

Decided On October 12, 1987
V.P.MEHTA Appellant
V/S
UNION OF INDIA Respondents

JUDGEMENT

(1.) JUDGMENT , J.(Oral) -

(2.) THE petitioner had entered into a contract with the respondent Union of India for executing the work of "Lining of NG Drain from RD 124400 to RD 125275 1/C NG Drain from Dhansa Regulator to Bharat Nagar Bridge" and agreement bearing No. EE II/Agmt./21/83-84 was executed between the parties. THE agreement between the parties was governed by arbitration clause according to which in the event of disputes, the matter was to be referred to the sole arbitration of a person to be appointed by the Chief Engineer of the Flood Control Department of the Delhi Administration. THE disputes in fact arose between the parties and the petitioner requested the Union of India that the disputes including the disputes to receive interest in regard to the claim of the petitioner be referred in accordance with the terms of the agreement. A reference was made to the arbitrator. In the order of reference, the dispute with regard to interest was not referred to the arbitrator. THE matter was agitated by the petitioner before the arbitrator who sought the clarification from the appointing authority whether the dispute regarding interest was also referred to him. THE appointing authority did not send any clarification in this regard. Before the award was made, the petitioner moved this application under section 20 of the Arbitration Act praying that the arbitration agreement between the parties be filed in court and the dispute regarding interest, which was claimed by the petitioner, should be referred to the arbitrator in terms of the arbitration clause.