UNION OF INDIA Vs. OM PRAKASH BALDEV KRISHAN

JUDGEMENT

(1.) This Civil Ist Appeal is directed against the judgment and decree dated 18-5-1989 passed by a learned single Bench of this Court. The admitted facts of the case are that a dispute arising out of a contract was referred to Brig. B.V. Ahuja, the then Deputy Director General Border Roads for adjudication in terms of the contract agreement. The arbitrator made the award on 3-6-1987. After the award was filed in the Court, the appellants applied for setting aside the same under Sections 30 and 33 of the Arbitration Act (for short the Act) on various grounds. The learned single Bench made the award rule of the Court after disallowing pendent lite interest amounting to Rs. 4,57 lacs, allowed by the arbitrator.

(2.) The judgment and decree impugned is assailed on the grounds : (i) that the learned single Judge failed to appreciate that the award had been made after the period of limitation prescribed under the Act had expired and as such was invalid (ii) that the arbitrator misconducted himself by allowing certain claims which were not included in the reference (iii) that the amount claimed being more than the one lac, the arbitrator was bound to give reasons for the award.

(3.) The respondent-contractor has preferred cross-objections challenging the judgment and decree impugned in so far as claim No. 11 regarding grant of pendente lite interest amounting to Rs. 4.57 lacs was disallowed.