( 1 ) ALL these four matters arise from arbitration proceedings and can be disposed of under a common order. All of them are preferred by the state of Andbra Pradesh.

( 2 ) TWO agreements were entered into between the State of Andhrapradesh and the respondent contractor herein on 31-10-1973 for widening and strengthening the Madras-Calcutta Trunk Road, between M. 532 to 544. They were lumpsum contracts. The first contract was for a value of Rs. 38,26,385/, and the second contract for a sum of Rs. 17 lakhs. The work had to be completed within three years of the handing over of the site. Site had been handed over to the respondent even on 14-3-1973, i. e, several months prior to the said agreements, under a provisional K-2 Agreement. Accordingly, the work had to be completed on or before 14-3-1976. By 14-3-1976 the respondent did work of a value of Rs. 6,60,000/ only. He did not carry on any work thereafter. The contracts were terminated on 25-10-1976, and the balance work awarded by the Government to a third-party contractor, who completed the same. The Government says, in that. connection it suffered a loss of Rs. 23 Lakhs. The respondent claimed a huge amount of m