Union Of India Thr. Secretary, ... vs M/S. Seth Construction Co
2016 Latest Caselaw 716 Bom

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                                                                        fa60.99.odt

         IN THE HIGH COURT OF JUDICATURE AT BOMBAY




                                                                               
                   NAGPUR BENCH, NAGPUR




                                                       
                          First Appeal No.60 of 1999


       1. Union of India,




                                                      
          through Secretary,
          Ministry of Defence,
          New Delhi.

       2. Union of India,




                                         
          through Engineer-in-Chief,
          Military Engineering Services,
                             
          Army Head quarters, Kashmir
          House, New Delhi.
                            
       3. Union of India,
          through Chief Engineer,
          Military Engineering Services,
          Hyderabad Zone,
      

          Secunderabad.
   



       4. Union of India,
          through Commander Works 
          Engineer, Military Engineering
          Services,





          AFI Building, Nagpur.

       5. Union of india,
          through Garrison Engineer (FY),
          Military Engineering Services,





          Ordinance Factory,
          Chandrapur.                                    ... Appellants/
                                                         Ori. Defendants

            Versus




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                                                                        fa60.99.odt

       M/s. Seth Construction Co.,




                                                                               
       Registered Partnership Firm,
       Registered under Provisions of




                                                       
       Partnership Act, through its Partner
       Shri Yash Pal s/o late Shri Vidhya
       Bhushan Seth,
       Aged about 54 years,




                                                      
       Resident of Seth Niwas,
       34, Byramji Town,
       Nagpur.                                            ... Respondent/
                                                          Ori. Plaintiff




                                          
       Shri A. Kamale, Advocate, holding for Shri Rohit Deo, ASGI for 
                             
       Appellants.
       Shri D.V. Chauhan, Advocate for Respondent.
                            
                 Coram : R.K. Deshpande, J.

th Date : 17 March, 2016

Oral Judgment :

1. Admit. Heard finally by consent of the learned counsels

appearing for the parties.

2. In Arbitration Case No.45 of 1995, filed under the

provisions of the Arbitration Act, 1940, the learned Civil Judge,

Senior Division, Chandrapur, by his judgment and order

dated 25-8-1998, has rejected the objections to the executability

fa60.99.odt

of the award passed by the Arbitrator and the award has been

made the rule of the Court directing the appellant-defendants to

pay an amount of Rs.39,57,000/- to the respondent-plaintiff with

an interest at the rate of 18% per annum from the date of filing

of the case till its realization.

3. This appeal has been preferred by the Union of India

challenging the decision of the Trial Court.

4. With the assistance of the learned counsels appearing for

the parties, I have gone through the judgment and order

delivered by the Trial Court and I find that the Trial Court has

considered the question of moral misconduct on the part of the

Arbitrator and the Trial Court has failed to look into the other

objections which are raised by the appellant-defendants. There

are several legal objections raised and those have not been

considered by the Trial Court. Hence, the matter will have to be

remanded back to the Trial Court after setting aside the

impugned judgment and order, for fresh consideration.

fa60.99.odt

5. In the result, the appeal is partly allowed. The judgment

and order dated 25-8-1998 passed by the learned Civil Judge,

Senior Division, Chandrapur, in Arbitration Case No.45 of 1995,

is hereby quashed and set aside. The matter is remanded back to

the Trial Court to hear and decide it afresh in accordance with

law keeping in view the observations made by this Court.

6. The parties to appear before the Trial Court on 18-4-2016.

No fresh notices shall be issued to the parties concerned. The

Trial Court to decide the matter within a period of six months

thereafter.

7. R & P, if received, be sent back to the Trial Court

immediately.

8. On 31-7-2000, this Court had passed an order as under :

" Heard learned counsel for both the sides.

fa60.99.odt

Civil Application granted in terms of prayer clause of

C.A.

Withdrawal be permitted on decree-holder's submitting Bank guarantee to the satisfaction of Additional Registrar.

C.A. Stands disposed of."

9. In pursuance to the aforesaid order, it seems that the

respondent-plaintiff has withdrawn the amount upon furnishing

the bank guarantee. The respondent-plaintiff shall continue to

keep the bank guarantee alive during the pendency of the

proceedings before the Trial Court, and the Trial Court, after

decision in the matter, shall pass appropriate orders in

accordance with its decision in respect of the bank guarantee so

furnished.

10. The appeal is disposed of in above terms. No order as to

costs.

Judge.

Lanjewar,PS