M.Y.EQBAL,J. - (1.) THESE appeals under Section 37 of the Arbitration and Conciliation Act, 1996 is directed against the judgments and orders dated 8.1.02 passed by Sub -Judge, Hazaribagh in Miscellaneous (Arbitration) Case No. 2/2001. 3/2001 and 4/2001 whereby he had dismissed the objections filed by the appellant under Section 34 of the said Act and refused to set aside the awards.
(2.) THE brief facts of the case in MA 4 of 2002 are that in response to a notice inviting tender by the appellant the respondent claimant submitted tender for the work of construction of residuary work under Bhairwa Reservoirs scheme and the work was awarded to the respondent and an agreement was drawn on 3.7.1991. Although the construction works started but it could not be completed within the extended period because of various reasons. The parties inter alia alleged their failure in performing their reciprocal obligations. Ultimately dispute arose between the parties and the claimant respondent moved this Court in Request Case No. 4 of 1996 and the dispute was finally referred to the arbitrator for adjudication pursuant to the order passed by the High Court. The salient features of the work assigned are as follows : (i)Agreement valueRs. 3,18,98,949.73(ii)Stipulated date of commencement3/7/1991(iii)Stipulated date of completion (12 months)2/7/1992(iv)Extended date of completion30/6/1995
(3.) THE learned arbitrator after considering the case of the parties gave the following award. Sl. No.Description of itemAmount Awarded 1.Amount payable as per 6th onaccount bill dated 4/8/1993 Rs. 17,12,384/ -2.Damages and losses suffered due to various breaches and defaults on the part of department Rs. 36,30,600/ - (i)Idle plant and machinery : (a)Idle and/or under utilized during the period between 3rd July, 1991 to 6th August 1993 (total 25 months -effective utilization of plantsand equipment 4 months) Rs. 72,61,200/ - (b)Fully idle plants and equipments from 7th August, 1993 to 31st August 1995 say 24 months Rs. 2,59,8007 - (ii)Idle/Additional over head charges:Rs. 6.49.500/ - (a)(a) During the period from 3.7.1991 to 6.8.1993 (b)Fully idle overhead expenses from 7th August, 1993 to 31st August 3.Increased cost of works executed after expiry of original date of completion i.e. works execute between 3.7.1992 to 6.8.1993 Rs. 7.90.481/ -4.Loss of profit earning capacity and/or abnormally low turn over 1,66 lakhs per months between the period from 3.7.1991 to 31.8.1995 i.e. 50 months with loss turn over of Rs. 19.6 lakhs/months loss. Rs. 23,35,984/ -5.Interest @ 18% p.a. on the amount payable under the 6th on A/c bill 4.8.1993 till payment Rs. 14.55.526/ -6.Interest @ Rs. 18% p.a. as due amount (except claim No. 4 from 1st September, 1995 till payment)Rs. 91.05.814/ - ;