SUREKA INTERNATIONAL Vs. UNION OF INDIA

JUDGEMENT

(1.) Heard Sri V.K. Mishra and Sri Shashi Kant Dubey, learned counsel for the petitioner and Sri R.B. Singhal, learned Assistant Solicitor General of India assisted by Sri Sanjay Om and Sri Rajnish Kumar Rai, learned counsel for the respondents.

(2.) Petitioner has been awarded a contract for the supply of certain materials by the Ordinance Equipment Factory at Kanpur and an agreement in this regard was executed between the parties on 4.7.2002. The said agreement vide Clause 24 provides for the settlement of all disputes arising between the parties and touching to the contract by the sole Arbitrator to be appointed by the Director General, Ordinance Factories, Government of India.

(3.) The petitioner in the petition pleads that in respect of the supply made by it under the aforesaid contract, it had submitted bills in 2003 but no payment was made to it. The petitioner vide notice dated 9.4.2013 demanded reference of the dispute to the Arbitral Tribunal. In the supplementary affidavit filed by the petitioner, it has been stated that the contract was completed by the petitioner on 3.6.2003. The details of the outstanding bills were submitted on 13.6.2003 but the payment was not made. Thereafter the petitioner sent reminders from 12.4.2004 to 10.12.2005 but to no avail. Accordingly, the petitioner vide notice dated 3.2.2006, invoked the arbitration clause and requested the respondents to nominate an Arbitrator. It is stated that thereafter repeated reminders for appointment of Arbitrator were sent from 3.2.2006 till 7.10.2012 and the last being dated 9.4.2013 but neither the claim was settled nor the dispute was referred to arbitration.