UNION OF INDIA Vs. HARBANS SINGH TULI

JUDGEMENT

(1.) This petition is directed against the order of the sub Judge 1st Class, Chandigarh dated 13-10-1990 whereby on an application filed by the respondent-contractor, his security for a sum of Rs. 60,000.00 was ordered to be released. The contractor raised certain claims against the Union of India for breach of contract. The dispute was raised in the year 1973. It is most unfortunate that the said dispute is pending for so many years and in the meantime many arbitrators had been changed but the matter could not be finalised. In this situation, the contractor made an application that his security for a sum of Rs. 60,000.00 lying with the department be released. He also submitted that earlier his security fora sum of Rs. 1,50,000.00 was released by the Court.

(2.) The application was contested on behalf of the Union of India on the ground that since all the claim of the Contractor had not been adjudicated upon, their security should not be allowed to be released in his favour. The learned sub Judge found that the Union of India is intentionally not releasing the security of the Contractor and therefore, directed to release the same.

(3.) No meaningful arguments could be raised on behalf of the petitioner to challenge the impugned order. The only submission made on behalf of the petitioner - Union of India was that it was the Contractor who was not allowing to proceed the arbitration proceedings and is delaying the same unnecessarily. It was the common case of the parties that the Union of India has not raised any dispute before the Arbitrator and it was the claim of the Contractor only, which was to be adjudicated upon by the Arbitrator. In these circumstances, it cannot be said that the Contractor was interested in delaying the proceedings. Thus, there is no merit in this submission.