JUDGEMENT
Shiv Kumar Sharma, J. -
(1.) All these
appeals involve common question of fact and
law therefore were heard analogously and are
being disposed of by a common judgment.
(2.) Under challenge in these appeals are
orders identical dated April 5, 1997 of the
learned Distt. Judge Banswara passed in Civil
Misc. Cases No. 10/96, 11/96, 12/96. and
13/96 whereby applications of the respondent Company (for short the Company) under
Section 9 of the Arbitration and Conciliation
Act, 1996 (for short the Act) were allowed and
two fold directions were issued with the consent of the parties thus:
(i) the State of Rajasthan (for short the
State) shall be entitled to retain the
security deposit of the Company
amounting to Rs. 97.28 lacs till
further orders to as to secure the
amount due towards company.
(ii) the State shall be restrained from
withholding the payment of Running bills and other amount payable
to the Company.
(3.) The brief resume of the facts is that
the Company submitted for applications in
the court of learned District Judge Banswara
under Section 9 of the Act praying therein
that the State be restrained from effecting the
recovery of excess payment made in respect
of exacavation of Earth Work to the Company
from its Running bills and the letters of recovery issued by the Executive Engineer Mahi
Sangwara Canal Division Mahi Project may
also be stayed. The State hotly contested the
applications. It was averred in the reply that
in respect of excess payment to the Company
the Executive Engineer requested the Superintendent of Police Dungarpur for making investigation into the matter and to register a
criminal case. Thereafter the Company by
invoking clause 23 of the Conditions of Contract moved application under Section 11 of
the Act for appointment of Arbitrator. It appears from the record that State decided to
effect the detailed enquiry in the matter and
Shri Diwakar Mahant, Superintendent Engineer was appointed as Enquiry Officer. A
committee was also constituted to assist the
Enquiry Officer. There-enquiry disclosed that
excess payment to the tune of Rs. 180.00 lacs
was made to the company. Learned Distt.
Judge allowed the applications under Section
11 of the Act and appointed Shri O.P. Yadav,
Additional Chief Engineer Irrigation Jodhpur
as an Arbitrator. The applications under Section 9 of the Act were also disposed of by the
learned District Judge by issuing directions
mentioned hereinabove.;
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