IRCON INTERNATIONAL LIMITED Vs. HINDUSTAN CONSTRUCTION CO LTD

JUDGEMENT

(1.) This petition is filed under Section 34 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as the Arbitration Act) seeking to impugn the Award dated 30.03.2017 passed by the learned Arbitrator.

(2.) The petitioner awarded a contract to the respondent vide Agreement dated 10.12004 for construction of Peer Panjal Tunnel from CH-158 + 730 to CH 163 + 560 on Laole Qazigund Section of Udhampur Srinagar, Baramulla New BG Railway Line. The length of the tunnel was 6130 meters. The work was awarded through a Letter of Acceptance dated 10.08.2005 and at the contract price of Rs.218, 35, 17, 680/- and was to be completed within 44 months of issuance of LOI i.e. 08.04.2009. The Agreement between the parties was executed on 18.02006. As against the above noted completion date, the respondent finally completed the contract work on 29.06.2013. It is the contention of the petitioner that the contract provided 12 key dates. However, on account of the acts of the respondent the scheduled date of completion including the key dates had to be repeatedly extended because of the failure on the part of the respondent. It has been pointed out that the present Award is only concerned for the period from March 2011 to 29.06.2013. With respect to the period prior to March 2011, it is stated that different arbitration proceedings were pending.

(3.) The respondent invoked the arbitration clause vide its letter dated 17.02.2014 in terms of Clause 59.2 of SCC. The claim of the respondent was rejected by the Engineer In-Charge. The respondent hence filed a petition before this court for appointment of a Sole Arbitrator. Vide order dated 212.2015 in Arb.Pet. 521/2015 filed by the respondent, Justice (Retd.)P.K. Bahri was appointed as the Sole Arbitrator to adjudicate the disputes between the parties.