SITA CONSTRUCTION CO Vs. UNION OF INDIA

JUDGEMENT

(1.) M/s Sita Construction Co. has filed petition under Section 14 of the Arbitration Act alleging that consequent on a dispute in a contract for construction of DTC depot at Wazirpur III. New Delhi the matter, in controversy was referred in the arbitration of N.H.Chandwani, respondent No. 2 as per Clause 25 of the contract entered into between the parties. Respondent No. 2 made and published the award on 26.12.89. It was prayed that respondent No. 2 be directed to file the award in question alongwith arbitration proceedings for further proceedings in the matter.

(2.) In response to the notice of the filing of the award in Court, UOI, respondent No. 1 filed objections under Sections 30 & 33 of the Arbitration Act on 28.9.90. It is alleged that the award in respect of claim No. 1 and counter-claims No. 1, 2 & 3 is bad in the eyes of Law. In regard to claim No. 1, it is stated that the contract was closed by respondent No. 1 as per Clause 13 of the agreement after giving notice to the petitioner vide letter dated 29.12.88. Arbitrator misconducted in awarding 2,94,000.00 to the petitioner overlooking said Clause 13 of the agreement. Arbitrator is stated to have further misconducted the proceedings by declining to pass award in respect of counter-claims 1, 2 & 3 in favour of respondent No. 1. Grounds of challenge in that behalf need not be discussed in detail as that objection was not pressed during the course of arguments on behalf of respondent No. 1.

(3.) Needless to say that the petitioner has contested the petition by filing reply.