V K ENGINEERING CONSTRUCTION Vs. UNION OF INDIA

JUDGEMENT

(1.) THIS is a review application filed by the 1st respondent -Contractor in C.M.A. No. 1044 of 2012 requesting this Court to review the order, dated 11 -12 -2012.

(2.) THE Union of India, South Central Railway, Secunderabad and its Chief Engineer, Construction - V, preferred the aforesaid appeal questioning award of interest for pre -reference and pendente lite periods by the Arbitrator, the 2nd respondent in the appeal.

(3.) THIS Court in the aforesaid appeal, acceding to the request of the appellants, by placing reliance on the decisions of the Hon'ble Supreme Court in S.K.A. Constructions v. Divisional Railway Manager (works), Palghat : AIR 2010 SC 3337 and Union of India v. M/s. Krafters Engineering and Leasing (P) Ltd. : AIR 2011 SC 2620, and the judgment of this Court in General Manager, South Central Railway and others v. Ch. Kotaiah and another : 2013(1) ALT 641 (D.B.) holding that Clause 16(2) of General Conditions of Contract (GCC) prohibits award of interest for the periods pre -reference and pendente lite, allowed the appeal.