JUDGEMENT
Gurusharan Shartna, J. -
(1.) Heard, the
parties and with their consent this appeal is
disposed of under Order 41 Rule 11 of the
Code of Civil Procedure. In respect of Agreement
No. 3-F 2 of 1983-84 dated 2.6.1983,
contract for construction of concrete-cum-boul-der
masonery dam on river North Koel at
Mandal Palemau, the contractor-respondent
raised claim of Rs. 1,66,75,117.00 and filed
application under Section 20 of the Arbitration Act, 1940
(hereinafter referred to as 'the
Act'), which was registered as Title Suit No.
120 of 1986. The Court appointed Sole Arbitrator, who entered into reference on
8.12.1995 and both parties appeared and
participated in the arbitration proceedings, filed
their pleadings and adduced evidence and ultimately award
of Rs. 1,13,92,300/- was pronounced on 31.10.1997. It was received in
Court on 12.11.1997. The appellant-State
filed objection dated 15.5.1998 thereto, under
Sections 30 and 33 of the Act and by impugned judgment dated 12.5.1999, the said
award was made Rule of Court. However, interest granted by Arbitrator @ 14 Wo per
annum from 7.4.1989 till date of award was
reduced to 9% and the period was extended
also from date of award till realisation.
(2.) Mr. S.L. Barnwal, Additional Advocate
General on behalf of appellants submitted that
time granted by the Court on extension once,
for pronouncement of award by 26.8.1997
was never extended under Section 24 of the
Act and, therefore, pronouncement of award
in question after the said date was without jurisdiction and barred by time.
(3.) It is not denied that before expiry of
the extended period, on 4.8.1997, Arbitrator
had already sent request to the Court to extend the period, if possible by 6.12.1997 and
parties also jointly had filed a petition in Court
on 26.8.1997 for extension of time, under
Section 24 of the Act. It further appears that
on 24.8.1997, arbitration proceeding stood
concluded and. therefore, some time was taken
for preparation and pronouncement of the
award. Extract of Arbitrator's order-sheet dated
24.8.1997 (Annexure-A to the counter affidavit), reveals
that arbitration proceeding concluded on 24.8.1997 and on the request of
respondent-State, liberty was given to submit/
file case laws, if any, before the Arbitrator by
14.9.1997 with a copy thereof to the claimant.
Such liberty was also allowed to the claimant, who may submit case law, if any, by the
said date.;
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