A. Shankar Narayana, J.

Challenge, under this Civil Miscellaneous Appeal, is to the order, dated 23-09-2013, in O.P. No.2236 of 2012 on the file of learned III Additional Chief Judge, City Civil Court, Hyderabad, whereby and where under the requests of respondent No.1 herein made under Section 9 of the Arbitration and Conciliation Act, 1996 (for short the Act) for perpetual injunction restraining the appellant herein from invoking/receiving any amount under the Bank Guarantees dated 28-03-2012 issued by the respondent No.2 herein Axix Bank Limited, for Rs.1,96,97,066/- and another bank guarantee of the same date for Rs.1,96,97,066/-, or to restrain respondent No.2 herein from making any payment in respect of the said bank guarantees and further perpetual injunction restraining the appellant herein from preventing respondent No.1 herein and its officials from removing their machinery, which details were mentioned in the Schedule annexed to the petition, from the work site at Raigarh, Chhattisgarh State were acceded to by the Court below.

2. For the sake of convenience, we refer to the parties as arrayed in O.P. filed before the lower Court.

3. The facts that are relevant for the purpose of disposal of the instant civil miscellaneous appeal are as under:

i) Respondent No.1 is principal contractor and has taken up work of design engineering, laying pipeline, power transmission, construction of jack well for M/s Visa Power Limited at Raigarh, Chhattisgarh. It has, in turn, sub-contracted various facets of work to different entities including the petitioner, who is a sub-contractor. The 1st respondent entrusted the work to the petitioner as to leasing land for storage of pipes, unloading from Trucks/Trailers, handling, stacking, loading, local transportation to project site, grit blasting, fabrication of structures, miter bends, internal coating of pipes at joints, external wrapping and coating, erection, testing and commissioning civil work, laying of Hume Pipes at village, river and national high-way crossing etc. of an estimated thirty kilometers of underground and over-ground 1200mm NB pipeline with a mechanical equipment at intake jack-well, pump house etc., at M/s Visa Super TPS Project, Raigarh, Chhattisgarh vide work order dated 02-02-2012.

ii) The general terms and conditions of the contract were annexed to the work order containing the contractual terms. The total project value stipulated in the work order is Rs.19,69,70,656/-. Clause -7.0 of the work order requires the petitioner to submit Contract Performance Guarantee for 10% of the total contract price within fifteen (15) days from the date of order, valid for eighteen (18) months from the date of completion of entire scope of the work and hand over facilities to TPL/Client i.e., claim period of three (03) months thereafter.

iii) The terms of payment have been that the respondent No.1 was to pay 10% of the total contract price as advance, as provided by clause 9.0 on mobilization of requisite man power, machinery etc. against submission of advance bank guarantee for equivalent amount valid till commissioning within the claim period of six (06) months. As per the terms, the petitioner mobilized the resources and furnished two bank guarantees for Rs.1,96,97,066/-dated 28.03.2012 issued by the 2nd respondent. Seven months period was provided for completion of work in the work order commencing from 02-02-2012. The petitioner avers that since respondent No.1 was not in a position to proceed with the work for want of availability of sites, though, the petitioner mobilized the resources by 28-03-2012 itself, and even, mobilization advance of 10% was not released till the month of September, 2012, despite, by 28-03-2012 itself, the petitioner mobilized men and machinery as per the terms, resulted in gross delay in the entire project, projecting lapses on the part of the respondent No.1.

iv) It is, according to the petitioner, that the pipeline, except for small