BHARAT PETROLEUM CORPORATION LTD. AND OTHERS Vs. M/S. P.C. JAT & BROTHERS AND OTHERS
LAWS(RAJ)-2018-4-181
HIGH COURT OF RAJASTHAN
Decided on April 11,2018

Bharat Petroleum Corporation Ltd. And Others Appellant
VERSUS
M/S. P.C. Jat And Brothers And Others Respondents

JUDGEMENT

DINESH MEHTA,J. - (1.) The present appeal under section 37 of the Arbitration and Conciliation Act, 1996 (hereinafter referred to Arbitration Act) has been filed by the appellants, laying challenge to the order dated 18.03.2015, passed by learned Additional District and Sessions Judge No.6, Jodhpur (hereinafter referred to as the 'court below') whereby the appellants' application under Section 34 of the Act, 1996 had been rejected.
(2.) The facts in brief leading the appellants to prefer the present appeal under Section 37 of the Act of 1996 are that an agreement was executed between the appellant - Corporation and respondent being agreement No. NR/POL/BULK/2005- 2008/RAJ/SALAWAS dated 27.07.2005 for transportation of petroleum products through vehicle bearing No.RJ-19-G-5189. The appellant - Corporation under apprehension of adulteration by the respondent got inspection done by SGS Company (an outsource company to whom the inspection work had been assigned by the appellant - Corporation). During the checking, it was found that the respondent had adulterated the HSD available at the outlet. The requisite samples were drawn from the outlet and the same were sent for confirmation to designated laboratory at Jaipur. After receipt of the report and due enquiry, the Corporation found that the respondent had adulterated the product during its transportation. Such being the situation, the appellant terminated the transportation contract and blacklisted the respondent.
(3.) Being aggrieved with the termination of the contract and blacklisting, the respondent filed an application under section 11 of the Arbitration Act, 1996, seeking securing appointment of the Arbitrator for resolution of dispute. Mr. SR Bhansali, retired District and Sessions Judge came to be appointed as an Arbitrator by this Court, vide its order dated 13.07.2011.;


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