UTTARAKHAND RURAL ROAD DEVELOPMENT AGENCY Vs. DISTRICT MAGISTRATE

JUDGEMENT

(1.) BRIEF facts of the present case, inter alia, that dispute between the contractor - respondent no. 3, herein and Department petitioner, herein, was referred to the sole arbitrator; sole arbitrator vide award dated 29.01.2008 was pleased to direct the petitioner Department to pay Rs. 32,66,088 to the claimant contractor - respondent no. 3, herein along with costs of Rs. 75,000/ - within 60 days from the date of award, failing which Rs. 33,41,088/ - shall carry future interest @ 18% per annum; feeling aggrieved, petitioner Department preferred an application under Section 34 of the Arbitration and Conciliation Act, 1996 before District Judge, Uttarkashi, however, same came to be dismissed vide judgment and order dated 01.08.2011; thereafter, Appeal from Order No. 362 of 2011 was preferred under Section 37 of the Arbitration and Conciliation Act, 1996 before this Court; and the Coordinate Bench of this Court vide order dated 09.09.2011 was pleased to admit the appeal and was further pleased to direct the appellant Department petitioner, herein, to deposit the amount of award with the District Judge concerned within a period of three months and on such deposit, execution of the order shall remain stay; Department petitioner, herein, could not deposit the amount of award within the stipulated time in compliance of order dated 09.09.2011, therefore, an application seeking extension of time was moved in Appeal from Order No. 362 of 2011; the Coordinate Bench of this Court, vide order dated 07.12.2011 was pleased to extend one month time with the stipulation that no more time shall be allowed to comply the earlier order passed by this Court; vide order dated 09.01.2012, the Coordinate Bench of this Court was pleased to vacate the interim order dated 09.09.2011 saying amount, as directed by this Court vide order dated 09.09.2011 could not be deposited within the extended time; decree holder / contractor - respondent no. 3, herein, approached the District Judge to proceed with the execution of the award whereupon learned District Judge was pleased to pass impugned order dated 04.08.2012 issuing letter to the Collector to recover the amount of award, as arrears of land revenue; feeling aggrieved, petitioner department, has approached this Court, under Article 227 of the Constitution of India.

(2.) I have heard Mr. M.C. Pant, Advocate for the petitioner, Mr. Gajendra Tripathi, Brief Holder for the State of Uttarakhand / respondent no. 1 and 2 and Mr. P.S. Rawat, Advocate for respondent no. 3 and have carefully perused the record.

(3.) LEARNED counsel for the parties have fairly submitted that after vacation of stay vide order dated 09.01.2012, petitioner Department has deposited the amount of award with the Registrar General of this Court and appeal is still pending disposal, however, learned counsel for the parties submitted that since, important question of law has arisen in the present writ petition - as to whether award can be executed during the pendency of the appeal arising out of the rejection of the application under Section 34 of the Arbitration and Conciliation Act, 1996, therefore, same should be settled.