STATE OF BIHAR Vs. HARDEO SINGH

JUDGEMENT

(1.) Heard learned counsel for the parties.

(2.) This appeal has been preferred, under Section 39 of the Arbitration Act, 1940, against the judgment dated 08.06.2006 passed in Title Suit No. 14 of 1990 by the Court of learned Subordinate Judge-IV, Supaul, whereby the learned Subordinate Judge has made the award passed by the arbitrator on 19.04.1991 the rule of the Court.

(3.) A brief background of the matter is that the appellant entered into an agreement with sole opposite party M/s. Hardeo Singh for construction of silt ejector at point "0.45 KM" of the Western Koshi Canal Division No.1, Birpur. The formal agreement bearing No.10F2 of 83-84 was executed in this regard on 03.09.1983. When the respondent started work at the agreed point, the government decided to shift the construction at 0.35 KM. On completion of the work within time, a dispute arose as the respondent put forwarded claim of additional amount which was incurred by him in shifting of the project as well as labour charges. The dispute was referred to the Arbitrator., i.e., the Superintending Engineer of the concerned circle, Western Kosi Canal Circle, Nirmali, in term of Clause 23 of the agreement. The Arbitrator made an award for Rs.16,65,000/- against claim of the respondent of rupees one crore eighty-eight lacs and odd. The award was filed in the Court of learned Subordinate Judge, Supaul on 16.06.1990. On receipt of the award the Subordinate Judge issued notice to the parties. The parties appeared through their counsel. While contractor filed objection stating that the Arbitrator had to decide the entire dispute between the parties which was not decided. No objection was filed on behalf of the State of Bihar.