STATE OF MAHARASHTRA Vs. HINDUSTAN CONSTRUCTION COMPANY

JUDGEMENT

(1.) By this appeal filed under Section 37 of the Arbitration And Conciliation Act 1996 ( for short herein after referred as 'the Act'), the Government seeks to challenge an order and judgment dated 29th June 2006 passed by the learned District Judge, Ratnagiri rejecting arbitration application No. 44 of 2003 filed by the Government under Section 34 of the Act.

(2.) The Government had challenged an award delivered by the Arbitral Tribunal allowing some of the claims made by the respondent (for short the Government is referred as 'Government' and the respondent is referred as 'the contractor'). Some of the relevant facts for the purpose of deciding this appeal are as under :

(3.) The dispute arose between the parties during execution of work in respect of hidden expenses. The contractor invoked arbitration clause. On 27th April 1998, first arbitration proceedings started. By an award dated 4th December 1998, the claim of the contractor was partly accepted by the learned arbitrator. Pursuant to said award, the Government paid sum of Rs. 10.2 crore to the contractor. The Government did not challenge the said award.