UNION OF INDIA Vs. BHAWANI TRADERS

JUDGEMENT

(1.) The instant appeal has been preferred by the appellants under Sec. 37 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to as "the Act") against the order dtd. 23/8/2019 passed by the learned Single Judge in AA No.15/2018, whereby the learned Single Judge dismissed the petition on the ground that the petitioners-appellants herein have failed to make out a case for setting aside of arbitral award.

(2.) The facts-in-short, as gathered from the appeal file, are that in the year 2010 the Union of India invited bids on behalf of the President of India for providing of 02 × JCO"s Living and 01 × Living Barrack for 20 men at KG Top in Poonch (J&K) from eligible contractors. Tender of respondent-M/s. Bhawani Traders was found lowest, thus, approval for allotment of contract was granted to it by the appellants herein and a contract agreement came to be drawn between the parties for an amount of Rs.81.159 lacs. The work was to be completed within a period of 24 months with date of start/date of handing over site as 29/11/2010 and date of completion as 28/11/2012. However, during the contract period, several disputes arose between the parties to the agreement. Since the respondent had completed only 14% of the work by 28/11/2012, as such the appellants herein while invoking Condition No.54 of the General Conditions of Contract cancelled the contract of respondent and the balance work was retendered. Thus, in terms of the arbitration clause, one Sh. A.S. Wazir, Chief Engineer (Retired) came to be appointed as the sole Arbitrator by this Court to adjudicate upon the disputes which had arisen between the parties to the agreement.

(3.) The arbitrator entered upon the reference, both the parties participated in the arbitration proceedings and filed their claims and counter claims. The sole arbitrator after completion of arbitration proceedings passed the award dtd. 30/12/2017 allowing Claims Nos.1, 2, 3 and 4 in favour of respondent and rejected almost all the counter claims of appellants herein.