STATE OF ORISSA Vs. ORIENT PAPER MILLS

JUDGEMENT

(1.) THIS is an appeal by the State of Orissa under Section 39 of the Arbitration Act, 1940 (hereinafter referred to as the 'Act') against the judgment and order dated 14.10.1999 passed by the Civil Judge (Senior Division), Bhubaneswar in O. S. No. 74 of 1979 by which the learned Civil Judge (Senior Division) dismissed the said suit on contest while allowing the Misc. Case No. 99/97 filed by the respondent under Section 30 read with Section 33 of the Act.

(2.) THE short facts giving rise to this appeal are : The respondent Orient Paper Mills filed O.S. No. 321 of 1988 I under Section 20 of the Act in the Court of Subordinate Judge [now Civil Judge (Senior Division)], Bhubaneswar, with a prayer to direct the State of Orissa to file the original agreement and to refer the dispute between the parties to the Orissa Arbitration Tribunal constituted under Section 41 A of the Act, for arbitration. The learned Civil Judge (Senior Division), by its judgment and order dated 9.8.1990 decreed the said suit with a direction to the State of Orissa to file the original agreement. After filing of the said agreement, by order dated 23.11.1991 the learned Civil Judge (Senior Division), referred the dispute for adjudication to the Arbitration Tribunal, Orissa. By majority, the learned Arbitration Tribunal passed a Nil award on 29.11.1996 which was filed before the learned Civil Judge (Senior Division), Bhubaneswar under Section 17 of the Act, for making the said Nil award a rule of the Court, which was registered as O.S. No. 74 of 1997. On receiving summons in the said suit the respondent Orient Paper Mills filed an application under Section 30 read with Section 33 of the Act alleging legal misconduct on the part of the Arbitration Tribunal and praying for remand of the dispute to the Tribunal for fresh adjudication on merits.

(3.) THE learned Court below keeping the above observations made by this Court in the aforesaid judgment and after hearing the parties has passed the impugned judgment and order by setting aside the disputed award and remitting the matter back to the arbitration Tribunal for consideration and disposal on merits.