PRASAD AND CO Vs. SUPERINTENDING ENGINEER

JUDGEMENT

(1.) THIS appeal under Section 39 of the Arbitration Act is directed against the judgment and decree passed by the II Addl. Judge, City Civil Court, Hyderabad in O.P. No. 124/84 which is an application filed under Sections 30 and 33 of the Arbitration Act by respondents 1 and 2 herein objecting to the award dated 1.10.1983 made by the arbitrator. The impugned judgment is a common Judgment in the aforesaid O.P. and O.S. No. 1514/83 filed by the arbitrator under Section 14(2) of the Act. The arbitrator a retired Chief Engineer was appointed by the court on an application under Section 8 of the Arbitration Act. The award was partly set aside in so far as Claim No. 3 was concerned and the rest of the award was made the Rule of the court. The court awarded interest at 6% per annum from the date of decree till the date of realisation.

(2.) THE details relating to the disputed claims are : Claim No. 2. - Payment for the extra leads for rubble, sand metal. Amount of claim : Rs. 14,69,423.00 and the claim was partly allowed for Rs. 10,63,651.00. Claim No. 3. - Payment of escalation charges : As against the claim of Rs. 47,00,000.00, the amount partly allowed was Rs. 4,60,419.00. Interest was allowed at 8.25% from 22.10.1982 i.e., from the date of entering upon reference.

(3.) WE will first take up claim No. 3 which is the subject-matter of C.M.A. No. 1156/89.