CONSTRUCTION AND SUPPLY CO. Vs. UNION OF INDIA

JUDGEMENT

(1.) M/s. Construction and Supply Company, Dibrugarh appeals against the judgment dated 30-5-1981 passed by the Assistant District Judge, Dibrugarh in Money Suit (Arbitration) No. 8 of 1978 refusing to set aside the award dated 29-9-1975 made by the sole arbitrator in Case No. ARB/BSS/279 dated 1-3-1973.

(2.) The Union of India failed to pay the amount claimed by the appellant for the construction work of R.C.C. Pipe culverts done under the Agreement No. SE/TK/16, of 1962-63. Shri B.S. Sekhon was appointed as sole arbitrator by order P/2 dated 29-1-1973 of the Chief Engineer, C.P.W.D. at Calcutta. The Arbitrator made the award on "29-9-1975.

(3.) The appellant raised objection before the Assistant District Judge that the arbitrator misconducted the proceeding and acted without jurisdiction by making the award after expiry of statutory period and so, the award is void. Relying the decision reported in State of Kerala Vs. K.P. Paulose, AIR 1973 Kerala 237, the Asstt. District Judge held that the parties had submitted to the jurisdiction of the arbitrator and participated in the proceeding even after the stipulated period of four (4) months, and the time enlarged by the arbitrator was with the consent of the parties, and so the award was not bad merely on the ground that extension of time for making award was not obtained from the court under Sec. 28(1) of the Arbitration Act, and accordingly ordered the award to be made a rule of the court under Sec. 17 of the Arbitration Act and directed to draw up decree. Hence, this appeal.