JUDGMENT

S.B. Sinha, J.-The appellant and the first respondent herein entered into a contract for construction of an auditorium complex at Willington Nilgiris for a sum of Rs. 64,79,982.95. The work commenced on 16.3.1979 and was to be completed on 15.3.1981. However, there had been amendment to the said agreement owing to increase in the scope of work. An extra time of six months was also given to the contractor in terms of the said amendment. The time for completion of the contract was extended from 16.9.1981 to 30.6.1982 and 1.7.1982 to 31.12.1982. The contract amount was also increased, because of the aforementioned amendment therein owing to increase in the scope of work, to Rs. 85.10 lakhs. Although the period of contract was over and the appellant did not grant any further extension, the same was purportedly terminated by the appellant herein on 28.2.1983, i.e., after the due date for completion of work, namely, 31.12.1982. Disputes and differences having arisen, the arbitration agreement was invoked by the Respondent No.1 and the claims and counterclaims of the parties were referred to one Brigadier M.M.L. Sharma who was appointed by the Engineer-in-Chief of the appellant. B