ORDER

1. These four appeals raise a common question on the interpretation of a certain G.O.M. issued by the State of Andhra Pradesh terms of which supposedly constitute an arbitration agreement. There is, however, apparent conflict on two decisions of this Court on the interpretation of the said G.O.M.

2. We take the facts in Civil Appeal No. 7246 of 1993 to understand the issue involved in these appeals.

3. Appellant, the State of Andhra Pradesh, awarded a contract on March 14, 1984 to the respondent for execution of certain work of construction or a canal across Sarada River. The value of the contract was over Rs. 83 lacs. G.O.M. NO. 430 dated October 4, 1983 which contained arbitration clause was part of the contract document. This G.O.M. 430, in relevant part is as under:--

Value of Amount Panel of Arbitration

1. Claims upto Rs. 10,000 & above

1.Superintending Engineer of another Circle in the same Department.

2. Claims above Rs. 10.000/- upto Rs. 50.000/-

1. Another CE of the same Department.

2. Where there is only one CE in the Deptt., the CE, will submit proposals to Govt, in the Administrative Deptt., for nomination of another CE as Arbitrator by Government.

3. Claims above