BANCO CONSTRUCTION PVT. LTD Vs. BRAJESH SHARMA

JUDGEMENT

(1.) The appellant impugns the order dtd. 29/2/2024 passed by the Commercial Court and Commercial Appellate Court, Gwalior in MJC AV No.01/2017 under Sec. 34 of the Arbitration & Conciliation Act,1996 (for brevity 'the Act') affirming the arbitral award dtd. 5/10/2016 passed by the learned Sole Arbitrator [Hon'ble Shri Justice R.B. Dixit (Retd.)]; whereby, an award of Rs.55,97,532.00 has been passed in favour of the respondent.

(2.) In brief, the facts of the case are that a work contract of construction of road was granted to the appellant for construction/upgradation of rural roads under Pradhan Mantri Gramin Sadak Yojna (PMGSY) in Package No.MP-2149 Khandwa by the M.P. Rural Road Development Authority (MPRRDA) vide agreement No.63-K/2008-09 dtd. 18/2/2009. As per Clause 7.1 of the said agreement subletting upto 25% was permissible with the approval of the employer in writing.

(3.) Vide agreement dtd. 14/9/2009, work of Rs.210.00 lacs was sublet to the respondent. Thereafter, a dispute arose between the parties, therefore, respondent served two notices dtd. 18/9/2012 on appellant for payment of dues and appointment of Arbitrator in the matter. Since no action was taken by the appellant for appointment of Arbitrator, respondent approached this Court by filing A.C.No.23/2012 and learned Single Bench of this Court vide order dtd. 20/8/2014 appointed Hon'ble Shri Justice R.B.Dixit (Retd.) as sole Arbitrator.