SUGAM CONSTUCTION (P) LTD. Vs. UNION OF INDIA

JUDGEMENT

(1.) The present application is preferred by applicant under Sec;tion 11 of Arbitration and Conciliation Act, 1996.

(2.) Precisely stated facts of the case are that applicant is a Private Limited Company registered under the Companies Act, 1956 and is engaged mainly in the work of Civil Construction and specializes in construction of railway related works. Respondent No. 1- is the Union of India, Ministry of Railways and invited the bid for tender for construction of road under a bridge in lieu of level crossing No. 429 between STLI-DHO Sec. (by box pushing method) vide its notice dtd. 9/10/2013. Respondents No. 2 and 3 are the Officers of North Central Railways.

(3.) Respondent No. 1 issued Notice Inviting Tender (NIT) on 9/10/2013 for construction of road as referred above in which applicant responded by quoting its rates vide letter dtd. 19/11/2013 and negotiations ensued. Later on work was awarded to applicant vide letter dtd. 24/2/2014 vide Annexure A/2. Letter of Acceptance (LOA) was issued on 7/4/2014 in which applicant was directed to deposit Performance Guarantee (PG) as per subject condition of Contract (Part 1).