BAHL BUILDERS PVT LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) THIS appeal challenges the judgment of the learned Single Judge dated 13th august, 2008. By the impugned judgment, the award of the Sole Arbitrator dated 24th April, 2003 whereby the claim was allowed to the extent of Rs. 2,30,000/-in favour of the appellant contractor with interest @ 15 per cent per annum was set aside.

(2.) THE appellant/contractor sought to challenge the judgment of the learned single Judge on the ground that judgment of the Hon'ble Supreme Court in the case of Ramnath International Construction (P) Ltd. Vs. Union of India reported in (2007) 2 Supreme Court Cases 453 was not applicable but, in fact, the issue involved was covered by a three judges Bench decision of the Hon'ble Supreme court in the case of K. R. Raveendranathan Vs. State of Kerala reported in (1998) 9 SCC 410. Learned counsel submitted that in view of this judgment, the learned Single Judge ought not to have relied on Ramnath International (supra) and ought to have relied on K. R. Raveendranathan (supra ). However, it has not been disputed before us that clause 11 involving interpretation in Ramnath International (supra) was identical to Clause 11 in the present appeal. The orders passed in the cases of k. R. Raveendranathan (supra) and Shyama Charan Agarwala and Sons Vs. Union of india; 1999 (1) Arb. LR 699 have been produced by the appellant before us.

(3.) THE order passed in Shyama Charan Agarwala (supra) followed the judgment of hon'ble Supreme Court in K. R. Raveendranathan (supra) and stated no other issue; and the order passed in K. R. Raveendranathan (supra) followed the judgment of the Hon'ble Supreme Court in Sudarsan Trading Co. Vs. Government of kerala; (1989) 2 SCC 38 and Hindustan Construction Co. Ltd. Vs. State of Jammu and Kashmir; (1992) 4 SCC 17.