UNION OF INDIA Vs. ARADHANA TRADING COMPANY
SUPREME COURT OF INDIA (FROM: CALCUTTA)
UNION OF INDIA
ARADHANA TRADING COMPANY
Click here to view full judgement.
Brijesh Kumar, J. -
(1.)These appeals arise out of the judgment and order dated 19-3-1999 passed by the Division Bench of Calcutta High Court in a bunch of appeals preferred by the present appellant before us.
(2.)We have heard the learned counsel for the parties. The main question that falls for our consideration in these appeals is about the maintainability of appeal before the Division Bench against the judgment and order of the learned single Judge of the Calcutta High Court, rejecting the application under O. 9, R. 13, C.P.C. for setting aside the ex parte decree making the Award Rule of the Court. The other question is as to whether the High Court was justified in entertaining the proceedings for making the award Rule of the Court since the District Courts of Asansol had also been moved by the appellant to issue notice to the Arbitrator, under S. 14(2) of the Arbitration Act, 1940, for filing of the award in the Asansol Court.
(3.)It appears that the appellant, namely the Union of India entered into agreements with the respondents for supply of certain items to the Railways viz. Chittranjan Locomotives. After the supplies, the Department felt that the bills of exorbitant amount were being raised by the respondents and an enquiry was also set up in that connection. Since, however, payments were not being made, the respondents filed writ petitions in Calcutta High Court for direction to the Government to make payment of bills. The High Court passed a common order dated 24-11-1995 in the writ petitions, directing the General Manager to appoint Arbitrators to settle the disputes, consequently on December 12, 1995 four Arbitrators were appointed. Parties filed their respective claims before the Arbitrators and put forth their pleas and placed the interim report of the Committee regarding rates of 42 items involved in various purchases made under different agreements. Since the time to make the award had expired, the High Court on being approached by the parties, extended time with their consent, for a period of two months, by order dated 4-2-1997. The awards were published by Arbitrators on 14-8-1997 sending notices of the same to the parties. The awards had been filed by the Arbitrators in the Calcutta High Court on 11-11-1997. Notices of the filing of the award had also been issued by the High Court which were served upon the appellants on 11-12-1997. The appellants did not file any objecton against the Award. The case was fixed on 27-1-1998. It appears that nobody appeared on behalf of the appellant despite notice and since no objections too, were preferred by them against the award, the High Court passed decree in terms of the award making the same Rule of the Court.
Copyright © Regent Computronics Pvt.Ltd.