( 1 ) THE respondent by an agreement dated July 27, 1982, undertook to execute lining to the bed and side slopes of D. B Canal from M5/6 to M6/0 and M6/0 to 6/2. Ninety percent of the contract was completed by June 30, 1984 and the balance on April 16, 1985. Accordingly, the work was handed over. Despite repeated requests to settle the claims, no action was taken by the petitioners. By letter daced February 19, 1986, he requested to settle the claims within thirty days from the date of receipt of that letter. But however, oo July 25, 1986, the petitioners have rejected the claim. Thus arose the dispute between the respondent and the petitioners. As a result, the respondent invoked Arbitration Clause 73. Thereunder, a Panel of three arbitrators, viz. , the Chief Engineer, Srisailam Project; Deputy secretary, Finance, Government of Andhra Pradesh and the Director of Accounts, Pochampad Projects are the designated arbitrators. The government, in G. O. Rt. No. 5, Finance and Planning dt. January 2, 1988, upgraded the post of the Deputy Secretary, Finance to the post of Joint secretary and he was kept in-charge of the subjects hitherto being dealt with. The Chief Engine