UNION OF INDIA Vs. ARVIND CONSTRUCTIONS (P) LIMITED

JUDGEMENT

(1.) THIS revision is filed against the order dated 22 -11 -2012 passed by the learned Chief Judge, City Civil Court, Hyderabad in E.P. No. 25 of 2013.

(2.) THE petitioners awarded a civil contract to the respondent for certain works in the ordnance factory at Eddumylaram. The cost of the work, as per the tender schedule was Rs. 4,04,24,188/ -. Disputes arose in respect of execution of the work. The respondent filed O.P No. 55 of 1995 before the Court of III Additional Chief Judge, City Civil Court, Secunderabad, with a prayer to appoint an Arbitrator, in terms of the agreement. The trial Court appointed one Mr. A.J. Kumarasen as Arbitrator. That was challenged by the respondent in C.R.P No. 3777 of 1997. The C.R.P was allowed and through an order dated 08 -10 -1988, a learned single Judge of this Court appointed Hon'ble Dr. Justice K. Ramaswamy, a retired judge of the Supreme Court as Arbitrator. The learned Arbitrator passed award dated 29 -04 -2001 and allowed claim Nos. 1, 2, 13 and 17 in their entirety and claim No. 12 in part. Apart from determining the amounts payable towards the respective claims, the Arbitrator has also awarded interest at 18% from different dates till the date of payment in respect of different sums, payable.

(3.) AFTER the dismissal of the L.P.A. the respondent filed calculation memo in the E.P. It was pleaded that by 28 -04 -2003 i.e., the date of filing of the E.P., the amount payable is Rs. 14,92,64,270/ - and the amount that has been deposited from time to time does not have the effect of satisfying the decree. The petitioners, on the other hand, pleaded that the principal amount is Rs. 4,24,24,342/ -. Interest thereon as awarded by the Arbitrator at 18% per annum and reduced in the O.P to 12% per annum from the date of decree is Rs. 11,24,44,448/ - and as against those amounts, Rs. 6,00,00,000/ - was paid on 13 -06 -2004 and Rs. 7,92,45,130/ - was paid on 24 -01 -2002. Both the parties filed their calculation memos from time to time.