- (1.) THIS is an application challenging that part of the Award where the learned Arbitrator refused to grant pendente lite interest to the petitioner.
(2.) IN this matter the first award was passed by the learned Arbitrator on or about 7/12/1991 on the following terms :- "(1) That the said Mining and Allied Machinery Corporation Ltd. the respondent abovenamed do pay to M/s. Engineering Construction Services the claimant a sum of Rs. 2,25,000.00 (Rupees two lacs twenty five thousand only). The said sum is to be paid by Mining and Allied Machinery Corporation Ltd. within a period of 60 (sixty) days from this day (to-day) and will carry interest at the rate of 15% per annum till realisation. (2) I further award that the said Mining and Allied Machinery Corporation Ltd. do pay to the said claimant M/s, Engineering Construction Services the costs of the proceedings held before me which I assess at a sum of Rs. 30,000.00 (Rupees thirty thousand) only, The said sum of Rs. 30,000.00 will also be paid by Mining and Allied Machinery Corporation Ltd. within 60 days from this day (today)." There was a change of law in regard to the power of an Arbitrator to grant pendente lite interest and inter alia for the said reason the Award was remitted for reconsideration of the matter of grant of interest.
(3.) AFTER reconsideration the same learned Arbitrator passed the subsequent Award on the following terms :- "(a) Mining and Allied Machinery Corporation Ltd. will not pay any pendente lite interest to M/s. Engineering Construction Services. (b) Mining and Allied Machinery Corporation Ltd. will pay interest to Engineering Construction Services on the sum of Rs. 2,25,000.00 (Rupees Two lakhs twenty five thousand only) as awarded by me on 7/12/1991 at a rate of 15 per cent per annum from 7/12/1991 till the date when any decree that may be passed by the Hon'ble Court and thereafter it will be in accordance with the decree that may be passed by the Hon'ble Court in that regard. (c) So far as direction for payment of the costs of Rs. 50,000.00 payable by Mining and Allied Machinery Corporation Ltd. to Engineering Construction Services as awarded by me in my award dated 7/12/1991 as mentioned in clause (2) of the operative portion of the said award dated 7/12/1991 is concerned, the award remains unaltered. (d) Each party will pay and bear its own costs in respect of the proceedings held before me after the award was remitted to me.";