YADAV CONSTRUCTION CO. v. BHARAT SANCHAR NIGAM LTD.
2008-03-04
A.K.SHRIVASTAVA
body2008
DigiLaw.ai
Judgment ( 1. ) FEELING aggrieved by the impugned order passed by learned xi Additional District Judge, Jabalpur in Case No. 1/03 dated 21-4-2004, the present applicant has filed this revision application. ( 2. ) NO exhaustive statements of facts are necessary for the disposal of this revision petition. Suffice it to say that an award was passed in favour of applicant, however, application under section 34 of the Arbitration and conciliation Act, 1966 (in short the Act) was filed by respondent and a cheque of Rs. 1,31,902/- was also deposited including the interest up to 9-6-2001. The prayer which was made by respondent before the Court below was that the said amount be not disbursed to the applicant because objections are filed under section 34 of the said Act. Eventually, the applicant was debarred to reap the fruits of the award passed by the Arbitral Tribunal. Later on, the objections filed under section 34 of the Act by the respondent were dismissed on 6-9-2003 by the learned Court below. However, no interest was ordered to be given to the present applicant during the pendency of the proceedings to decide the objections under section 34 of the Act. ( 3. ) THE contention of learned counsel for applicant is that for no fault of the applicant he was debarred to reap the fruits of the interest and it was incumbent upon the Court below to have passed an order to pay interest with effect from 16-4-2001 to 4-11-2003. ( 4. ) ON the other hand Shri O. P. Namdeo, learned counsel for respondent argued in support of the impugned award and contended that cogent reasons are assigned by the learned Court below not awarding the interest for the period 16-4-2001 to 4-11-2003 since amount of award was already paid by the respondent. ( 5. ) HAVING heard learned counsel for the parties, I am of the view that this revision application deserves to be allowed. ( 6. ) NO doubt the respondent deposited a cheque of Rs. 1,31,901/- on 16-4-2001, but, it is equally true that on the insistence of respondent, the said amount was not paid to the applicant because according to the respondent he had filed objections under section 34 of the said Act.
( 6. ) NO doubt the respondent deposited a cheque of Rs. 1,31,901/- on 16-4-2001, but, it is equally true that on the insistence of respondent, the said amount was not paid to the applicant because according to the respondent he had filed objections under section 34 of the said Act. It is no more in dispute that the objections which were filed under section 34 of the Act were later on rejected on 6-9-2003 and ultimately the amount of Rs. 1,31,902/- was paid to the present applicant on 4-11-2003. ( 7. ) TO me, by not passing the order to make payment of interest with effect from 16-4-2001 to 4-11-2003, the learned Court below had acted illegally with material irregularity in exercise of jurisdiction and has also failed to exercise jurisdiction vested in it by law. The important fact which cannot be marginalized and blinked away is that for no fault of his the applicant was debarred from reaping the fruits of the award and the amount of award was directed to be paid to him only on 4-11-2003 when the objections under section 34 of the Act were dismissed by the Court below. Thus, I am of the view that applicant is entitled to the interest with effect from 16-4-2001 to 4-11-2003. Since it is borne out from the impugned order that on the insistence of respondent a prayer was made not to pay the amount passed by the Arbitral Tribunal though it was deposited in the court, therefore, the applicant cannot be allowed to suffer. ( 8. ) RESULTANTLY, this revision succeeds and is hereby allowed, the impugned order is set aside and the respondent is hereby directed to pay the interest as per the award for the period 16-4-2001 to 4-11-2003. It has been contended by learned senior counsel for applicant that it comes to Rs. 58,754/ -. The Court below is directed to check this figure and pass necessary order in regard to payment of the interest. The applicant shall also be entitled for the cost of this revision application. Counsel fee Rs. 1000/-, if pre-certified. Revision allowed.