GANGES WATERPROOF WORKS PRIVATE LIMITED Vs. UNION OF INDIA
LAWS(SC)-1999-1-26
SUPREME COURT OF INDIA (FROM: CALCUTTA)
Decided on January 29,1999

GANGES WATERPROOF WORKS PRIVATE LIMITED Appellant
VERSUS
UNION OF INDIA Respondents

JUDGEMENT

R. C. Lahoti, J. - (1.) The disputes arising between the parties out of a contract entered into in the year 1978 were referred for arbitration consistently with the arbitration clause in the agreement. The Arbitrator gave an award on 23rd August, 1982. Proceedings under Ss. 14/17 of the Indian Arbitration Act, 1940 (hereinafter referred to as 'the Act', for short) were commenced. The petitioner filed objections under Sections 30/33 of the Act which have been dismissed by a learned single Judge of the High Court at Calcutta. An appeal preferred before the Division Bench has also been dismissed. The petitioner has preferred this civil appeal.
(2.) Challenge to the legality and validity of the arbitration proceedings has been laid on three grounds:Firstly, that the claimant - Union of India (respondent herein) filed an additional statement accompanied by documents before the Arbitrator on 11th August, 1982, which was the last day of hearing and that was taken into consideration by the Arbitrator without affording the petitioner an opportunity for contesting the same or even delivering copy thereof to the petitioner; secondly though no oral evidence was adduced by any of the parties, yet the Arbitrator has in his award expressed having heard the evidence which shows in application of mind to the record of the proceedings and material available before the Arbitrator; and thirdly, that the Arbitrator in the sitting held on 11-8-1982 heard the parties hardly for five or seven minutes in which limited time no real hearing could have taken place. It is submitted that the manner in which the Arbitrator has conducted himself, has resulted into violation of the principles of natural justice and vitiated the arbitration proceedings. Similar grounds were raised before the learned single Judge as also in the intra Court appeal before the High Court and have been turned down. Having heard the learned counsel for the parties, we are also of the opinion that here too the petitioner must meet the same fate.
(3.) As to the first contention, the learned single Judge had perused the record of the arbitration proceedings made available to the Court by the Arbitrator. The learned single Judge found that there was in fact nothing filed by or on behalf of the respondent - Union of India before the Arbitrator on 11th August, 1982. The proceeding of that date recorded by the Arbitrator states - "Union of India filed an additional statement and documents. Heard the parties. The case is closed for making the order. Let the Union of India submit the requisite stamp papers." This order is signed by Mr. P. K. Sen, the counsel for the petitioner, Mr. D. K. Shone, the counsel for the respondent as well as the Arbitrator. The learned single Judge has found that the additional statement and documents were filed before the Arbitrator by the Union of India on 31st May, 1982 and it is that set of papers which has been referred to in the record of proceedings dated 11th August, 1982, though it was already referred to in the previous proceedings. The learned single Judge had afforded the parties an opportunity of filing supplementary affidavits so as to clarify the position as to what had really transpired before the Arbitrator on 11th August, 1982. The Union of India has not admitted having filed any new additional written statement or new documents before the Arbitrator on 11th August, 1982. On behalf of the petitioner also, no specific case was made out in the additional affidavit supporting the plea raised on its behalf. The learned single Judge was convinced that there was no merit in the plea so raised on behalf of the petitioner.;


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