- (1.) This appeal under Section 39 of the Arbitration Act is from the judgement and order dated 19.4.1994 passed by the learned 1st Additional Civil Judge, Bulandshahr, in Original Suit No. 14 of 1994, M/s. Allied Construction Engineers v. State of U.P. and Others.
(2.) Facts giving rise to this appeal are that Superintending Engineer, Upper Ganga Irrigation Modernisation Project II (in short U.G.M.C) invited tenders for construction of B.R.B.-cum-fall on Mundakher 2 Escape at Km 2.780. In response to the advertisement respondents submitted tender on 24.10.1989. Acceptance of this tender was communicated on 6.1.1990 in pursuance of which an agreement was executed by parties on 9.4.1990, registered as K-02-036. Under this agreement the work was to commence in 19.4.1990 and stipulated period for completion of the contracted work was 14 months, i.e. by 18.6.1991. However, the work could be completed on 29.5.1991.
(3.) With regard to the aforesaid contract, dispute between parties arose in connection with the cost of sheet piles in respect of Item No. 17 of the Schedule off bids. According to the department the rate of Rs. 10,900/- per tonne of sheet piles for item No. 17 included the cost of sheet piles which were supplied by the department, at the rate of Rs. 9000/- per tonne and accordingly it deducted the amount of Rs. 2,61,018/- from the bills of the claimant. This deduction was made in the running bills also and deduction was against the total work of 29.002 M.T. of sheet piles.;