The parties entered into an Agreement dated 5.3.2002 under which the Respondent had to develop and let out to the Petitioner on leave and licence basis a premises of upto 40,000 sq. It. The leave and licence agreement was to be from 1.8.2002. Under Clause 8 of the said agreement, the Respondent was to hand over possession of the premises to the Petitioner on 1.6.2002. Under Clause 9 of the said agreement, the possession was to be handed over upon the construction duly completed in all respects on 25.7.2002. Several facilities and services were to be provided as mentioned in the said agreement. Under Clause 30 of the said agreement, the Respondent was to pay the Petitioner penalty charges as compensation, if there was any delay in handing over possession beyond 25.7.2002. Under Clause 31 of the said agreement, time was made of the essence. [t~ however, the Respondent did not perform the covenants as stipulated in the agreement, it was to pay penalty of Rs.2 Crores to the Petitioner for the non-performance of the covenants. This included not obtaining the requisite municipal approvals on or before 10.6.2002. The Respondent was also to give a Bank Guarantee and a corporate