JANTA BRICK KILN CO Vs. STATE OF HARYANA

JUDGEMENT

(1.) PETITIONER entered into a contract for installation of brick kiln in village Nangal Mundi, Tehsil Rewari with the Executive Engineer, Jawahar Lal Nehru Canal, during the year 1979-80. Dispute arose between the parties and ultimately the matter was referred for arbitration to the sole arbitration of Shri R. K. Bhatia, Superintending Engineer. Petitioner as well as the State of Haryana filed their claim and counter-claim. Petitioner claimed a sum of Rs. 10,79,404/- 43 paise against the respondent-State. State of Haryana filed a counter-claim for a sum of Rs. 2,67,953/ -. The Arbitrator after considering the claim and counter-claim, gave an award of on September 27, 1985. It awarded a sum of Rs. 1,70,384/- to the petitioner with interest @ 6 percent per annum.

(2.) THE award was filed in the Court by the Arbitrator suo moto. Petitioner filed an application for making the award a rule of the Court for issuing a decree in accordance with the award. Notice was issued to the State of Haryana. Objections were filed under Sections 30,31 and 33 of the Arbitration Act (hereinafter referred to as 'the Act'), raising various pleas including that the arbitrator had misconducted himself in the proceedings.

(3.) STATE of Haryana being aggrieved, filed an appeal before the first Appellate Court. The Appellate Court set-aside the judgment and decree of the trial Court making the award a rule of the Court. The matter was remitted to the Arbitrator. A further direction was given that arbitration proceedings be conducted by another Arbitrator i. e. Superintending Engineer (Canal), Narnaul.