STATE OF MANIPUR Vs. Y. CHANDRA SINGH

JUDGEMENT

(1.) This is an appeal under the provision of section 39 (vi) of the Arbitration Act, 1940 against the judgment dated 25.5.1981 passed by the Subordinate Judge II, Manipur in Original Suit No. 7 of 1980, refusing to set aside the award dated 7.7.1980 made in Arbitration Case No. 1 of 1979 by the arbitrator Shri H. Angangyaima Singh and passing decree in terms of the award.

(2.) The respondent entered into a contract with the appellant under agreement No. 44/CH-R/65 of 1985, for widening the 4' ft. trace path to 9' ft. jeepable track from Aina to Tupi River on Churachandpur Tipaimukh Road. The respondent completed the work. According to appellant, the respondent was paid an amount of Rs. 85,469.46 p., inclusive the amount of the running bills, on 4.11.1972 on the final bill. Thereafter, the respondent preferred a claim on the Department, by a representation, for the additional works done by him appertaining to the said contract work. The Department deputed Mr. T. Victor, the then Executive Engineer, Churachandpur Tipaimukh Road Survey Division, for ground verification. Mr. T. Victor by his ground verification report recommended for payment of a sum to the respondent. But the appellant refused to approve the payment on that recommendation. Thereupon, the respondent filed an application dated 13.12.1973 before the Chief Engineer claiming the sum payable to him. The Department through its Superintending Engineer by letter No. SE II-8-4/73/Vol. VI/ 10910, Imphal dated 28th Dec., 1973 intimated the respondent that his claim had been turned down.

(3.) Difference arisen out of the contract agreement, containing clause for Arbitration, the respondent filed the suit under the provision of section 20 of the Arbitration Act in the Court of Subordinate Judge II for appointment of an arbitrator. The Court appointed Shri H. Angangyaima Singh. Controller of Technical Education, Government of Manipur, Takyelpat Imphal as sole arbitrator by making an order and reference for his decision. The Arbitration Case No. 1 of 1979 was opened. The arbitrator heard the proceeding ex parte in the absence of the appellant on 5.7.1980 and made the award on 7.7.1980. The appellant, by an application under sections 30 and 33 of the Arbitration Act, challenged the validity of the award praying to set aside the same. The Court by its judgment dated 25.5 81 refused to set aside the award and made it the rule of the Court and a decree was passed in terms of the award directing the appellant (defendant) to pay the award money Rs. 44,328.00 to the respondent (plaintiff) with the interest indicated.