Judgement

V. RAMASWAMI, J. :- Special leave granted.

2. In respect of a dispute relating to the work Lankagada Minor Irrigation Project (Balance Work) in Jagannathaprasad Block which was entrusted to him, the appellant contractor, invoking clause 23 of the agreement and Section 8 of the Arbitration Act requested the Chief Engineer, Rural Engineering Organisation, Bhubaneswar, Orissa, to nominate an arbitrator. It may be mentioned that before making this request for nomination of an arbitrator the appellant made a claim on 16-6-1975 before the Executive Engineer, M. I. Division, Berhampur, Ganjam, claiming to be paid a sum of Rs. 2,81,745 / -. He had also claimed interest on this at the rate of 18 per cent from the date of receiving of the claim book till payment. The work entrusted to the appellant was to commence on 6-12-1971 and to be completed within 18 months i.e. on or before 5-6-1973 and the total cost of the work was Rs. 9,98,970/ -. One Shri D. C. Panda, Superintending Engineer, Central Range, was nominated as the sole arbitrator to decide the dispute and give the award. This arbitrator having accepted the appointment entered on the reference and issued notices to both the pa