VALIMIKI J.MEHTA, J. - (1.) THIS is a petition under Section 11 of the Arbitration and Conciliation Act, 1996. The petitioner seeks reference of the disputes pertaining to and arising out of a Soft Loan of Rs.7.17 crores requested by the respondent vide its letter dated 13.6.2005 from the petitioner. The relevant portion of this letter reads as under:
(2.) "We would be grateful, if you kindly help us with one-time Soft Loan of Rs.7.17 Crores recoverable over a period of five years ". Pursuant to this request, the petitioner advanced a sum of Rs. 6.63 crores as loan to the respondent.
(3.) IT may be noted that the parties had already entered into another commercial relationship vide a work order dated 2.3.2001 issued by the petitioner upon the respondent whereby the respondent was to carry out various services of excavation for the petitioner at a site near DongaMohua Village District Rajgarh, M.P..;