Judgment

SABYASACHI MUKHARJI, J. :- Special Leave granted.

2. The Delhi Development Authority vide its letter dated 5th October, 1976 accepted the tender of the appellant for construction of 240 Janta Houses at the estimated cost of Rs. 24,49,262/-. The work was to commence on 15th October, 1976 and was required to be completed by 14th July, 1977. By a subsequent extension of time the work was finally completed on 2nd April, 1980 and the houses so constructed have been allotted to several people. Between Feb. 1983 to Dec. 1985 the appellant sent several letters to the respondent requesting them to finalise the bills. It appears, however, that the first of such letters was written on 28th Feb. 1983. Thereafter the appellant wrote several letters and finally on 4th Sept. 1985 to the respondent to finalise the bills and ultimately served the notice through his counsel requesting it to release the security of Rs. one lakh and refer the dispute to arbitration. The respondent failed to do so. In Jan. 1986 the appellant filed an application under S. 20 of the Arbitration Act, 1940 (hereinafter called the Act) seeking a direction from the Court that the respondent be directed to file the ar