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Sri Arun Kumar Dey vs The Oil And Natural Gas Corporation ...
2025 Latest Caselaw 874 Tri

Citation : 2025 Latest Caselaw 874 Tri
Judgement Date : 2 April, 2025

Tripura High Court

Sri Arun Kumar Dey vs The Oil And Natural Gas Corporation ... on 2 April, 2025

                                 Page 1 of 4




                      HIGH COURT OF TRIPURA
                        _A_G_A_R_T_A_L_A_
                         ARB P No.05 of 2025
Sri Arun Kumar Dey, contractor
                                                       ...... Petitioner(s)
                            VERSUS
The Oil and Natural Gas Corporation Limited (ONGC) and another

                                                      ...... Respondent(s)

For Petitioner(s) : Mr. Abjijit Sengupta, Advocate.

For Respondent(s)     : None.

 HON'BLE THE CHIEF JUSTICE MR. APARESH KUMAR SINGH

                             =O=R=D=E=R=
02/04/2025

Petitioner has invoked Clause 25.1.2 of the agreement dated

27.01.2022 entered into between the parties pursuant to tender No.TC2EC

21003 floated for execution of the work 'Board purchase for construction of

seven numbers of drill sites, its drill site accommodation and its approach

road for drilling for exploratory location of Tripura Asset, ONGC'.

Petitioner was awarded work for execution of three numbers of drill sites for

a total value of Rs.8,56,33,802/- i.e. Rs.2,85,44,600/- for each site. The

stipulated period of the work was 12 months from the date of handing over

of the first site. The agreement was executed on 27.01.2022. Petitioner

deposited performance bank guarantee of Rs.25,69,015/- on 07.12.2021 in

favour of GM (Mechanical), I/C, Tender and Technical Cell Engineering

Service, ONGC, Tripura Asset. However, petitioner was handed over only

two numbers of drill sites, namely, BMST and ROBJ.

It is submitted by learned counsel for the petitioner that

petitioner completed the said work to the satisfaction of the ONGC and

handed over two sites to them. Though petitioner submitted bank guarantee

for three sites but third site was not handed over to him till then. Petitioner

made reminders for handing over the third site as a result of which he had

been incurring overhead expenses. He was informed vide letter dated

07.06.2024 that the third site will not be handed over to him since the

contract period was for one year which is already over. Petitioner denied the

allegations vide his letter dated 30.08.2024 (Annexure-4). Petitioner claimed

10% of the expected profit for non-execution of the work amounting to

Rs.28,54,460/- from the respondent-ONGC. Petitioner submitted his demand

contained in letter dated 31.08.2024 (Annexure-5) for a claim of

Rs.33,34,460/- for loss of profit and remuneration of site engineer and

supervisor. Thereafter, he submitted an application for referring the dispute

to the respondent-ONGC under Arbitration Clause 25.1.12 (Annexure-6)

dated 14.11.2024.

The respondent-ONGC asked the petitioner to submit

application for mediation/re-conciliation vide communication dated

07.01.2025. On 03.05.2024 petitioner found that an amount of

Rs.46,00,069.85/- was credited to his account against the bill dated

21.03.2024 but they were short in payment of his full bills. On verification it

was found that an amount of Rs.77,55,760/- has been deducted from his bills

without assigning any reason. Thereafter, petitioner filed a writ petition

bearing WP(C) No.500 of 2024 which was disposed of vide judgment dated

26.07.2024 directing the respondent-ONGC to consider his case in the light

of his legal notice dated 14.05.2024 within a period of two months

(Annexure-11). The respondent-ONGC replied vide communication dated

06.11.2024 that the amount of Rs.77,55,760/- has rightly been recovered

from his bills as per the terms of the contract (Annexure-12).

Petitioner again submitted an application for reference of the

dispute for arbitration under Clause 25.1.12 vide letter 18.01.2025

(Annexure-14). The respondents have once again asked him to submit

application for conciliation/mediation vide letter dated 12.02.2025

(Annexure-15). However, learned counsel for the petitioner submits that

since the petitioner has opted to invoke the Arbitration Clause he is not

inclined to go for mediation/conciliation through Outside Expert Committee

(OEC). The details of the disputes have been furnished at paragraph 6 in the

form of a chart. Earlier, the petitioner had approached this Court in

Arbitration Petition No.01 of 2025 for reference of the dispute to an

independent arbitrator but the same was withdrawn vide order dated

19.02.2025 as the entire claims were not incorporated in the petition.

Thereafter, the present petition has been filed by the petitioner.

Learned counsel for the petitioner submits that in these facts

and circumstances in view of the Arbitration Clause entered into between the

parties, since the respondents have not nominated an arbitrator he has been

compelled to approach this Court under Section 11(6) of the Arbitration and

Conciliation Act, 1996.

Issue notice upon the respondents under ordinary process and

speed post for which requisites be filed within one week.

Notice is made returnable within 4(four) weeks.

(APARESH KUMAR SINGH) CJ

DIPESH DEB DEB Date: 2025.04.03 14:04:20 +05'30'

 
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