UNION OF INDIA Vs. LOKNATH BISWAL

JUDGEMENT

(1.) Mr. Kashyuap, learned advocate, Central Government Counsel led by Mr. Parhi, learned advocate, Assistant Solicitor General appears on behalf of Union of India and submits, the Court below erred in not setting aside award dtd. 31/12/2001 regarding application by the Tribunal, of the deviation clause. He submits, there could not have been deviation fond since respondent did not complete the work.

(2.) Grounds of appeal are against award on claim nos. 1 and 15. The deviation was incorrectly found by the arbitrator, to award market rate under claim no.1, inspite of escalation paid at Rs.99,000.00 and again claimed under claim no.15. Mr. Kashyuap submits, counter claims made by his client were also erroneously rejected.

(3.) He relies on deviation clause 7 in General Conditions of Contract (GCC) to submit, deviation on items of any individual trade included in the contract shall not exceed +/- 25% value of that trade in the contract as a whole or half the deviation limit, whichever is less. According to him the deviation was well within the limit and, he reitereates, the contractor was paid escalation on contractual provisions, at Rs.99,000.00. He then refers to the award to submit, the arbitrator while dealing with claim no.15 categorically said that it is covered by claim no.1 but, went on to award on the claim. Adjudication on award of above two claims discloses apparent patent illegality on the face. This was not appreciated by the Court below. In the circumstances, there be intervention in appeal.