AMARPALI STRUCTURAL PVT LTD Vs. STATE OF J&K

JUDGEMENT

(1.) THIS appeal is directed against the judgment and decree dated 30 -11 -1996 passed by the learned Ist Addl District Judge, Jammu whereby he made the award of the arbitrator (Mr. Ajit Kumar, Commissioner -cum -Secretary to Government, Education Department) a rule of the court after rejecting the objections of the appellant which he filed after making an application under sections 30/33 of the J&K Arbitration Act Because of the impugned judgment and decree, the award of the arbitrator in the sum of Rs. 15 42,893 83 alongwith interest at the rate of 18% per annum has been made a rule of the court.

(2.) THE facts of the case briefly stated are that the appellant herein had taken the contract for the supply of Galvanised Steel Structures for 220 KV Transmissipn Line (Galadani -Udhampur) which was to be constructed in the year 1984, A formal agreement was executed between the parties in the year 1984 On 10 -9 -1991 the respondent issued a letter bearing No, TICD -1/G -119/838 requiring the appellant herein to make a payment of Rs, 31,74,138.43 stating that it was an amount payable to the respondents out of the contract.

(3.) THE appellant has contended that respondent herein had moved this court under section 20 of the Arbitration Act with a prayer for the appointment of an arbitrator and that application was withdrawn vide Annexure -iii at page 43. This Annexure says that it is an order passed by Brother V K, Gupta J on 21 -9 -1992 on an application for leave to withdraw the Arbitration Application No .4 of 1992 on the ground that the petitioners/applicants had decided to refer the dispute to the arbitrator of their own choice without the intervention of the court It is further stated in this order that for the reasons stated in the application the same is allowed and disposed of and the petitioners are permitted to take recourse to the provisions of the Arbitration Act thus leave for reference of the dispute to the arbitrator in accordance with the arbitration agreement and law, The petitioners are also reserved liberty to approach this court again in case of accrual of cause of action to them."