KRISHNA ASSOCIATES Vs. CENTRAL COALFIELD LIMITED

JUDGEMENT

(1.) In the instant application, filed under S. 11(6) of the Arbitration and Conciliation Act, 1996, the petitioner has prayed for appointment of Arbitrator and for reference of the claim to the Arbitrator for adjudication.

(2.) The facts of the case lie in a narrow compass : The petitioner was allotted work order for construction of whart/earth filling at Churi Railway siding under Piperwar Project in terms of the agreement dated 30-7-1994. The work was valued at Rs. 31,57,162.46 paise. The said work was to be commenced from 26-4-1994 and to be completed within a period of six months.Petitioner's case is that there was inordinate delay from the side of the respondents in allotment of clear site where the job was to be carried out. The respondents could not provide entire working place except a part where the petitioner began its work. In this respect, for providing other side, the petitioner sent several letters but nothing was done by the respondents. It appears that contract was closed with effect from 30-5-1995. According to the petitioner, equipments were brought on the site and the said equipments and labourers remained idle for about 217 days due to which the petitioner suffered huge financial loss. The petitioner made a claim and by letter dated 29-6-1996 requested the General Manager, Piperwar Project to settle the claim within 30 days failing which the petitioner shall invoke arbitration clause contained in the agreement. When nothing was done from the side of the respondents, the petitioner filed the instant application for appointment of Arbitrator.

(3.) A counter affidavit has been filed on behalf of the respondents stating, inter alia, that the petitioner has already received the amount in full and final settlement of the claim and submitted 'no dues certificate'. The petitioner has also certified in the bill that the claim has been fully satisfied and there is nothing due against the respondents. The case of the respondents is, therefore, that no dispute exists as there is no amount due against the respondents and there is no question of entertaining this application and appointing Arbitrator.