The court emphasized the importance of the arbitrator's power to determine the admissibility, relevance, materiality, and weight of evidence, and the principles of natural justice and fair play in arbitration proceedings.

Heard finally by consent of the parties.

2 The Petitioners have invoked Section 9 read with Section 19 of the Arbitration and Conciliation Act, 1996 (for short, the Arbitration Act), basically against the communication dated 17.08.2010, of the Arbitrator. The prayers of the Petitioners are as under :

(a) This Hon’ble Court be pleased to direct Respondent No.2, the learned sole Arbitrator to formulate and prescribe the appropriate legal procedure for adjudicating the arbitration proceedings and convening the arbitration meetings and more particularly to record the evidence as per the Indian Evidence Act;

(b) This Hon’ble Court be pleased to direct Respondent No.2, the learned sole Arbitrator to give consideration for all the Acts applicable so that the proceedings cannot be in conflict with the Public Policy of India;

(c) Pending the hearing and final disposal of the present Petition, the above arbitration proceedings before Respondent No.2 may please be stayed;

3 The first and foremost thing is that Section 9 or Section 19 or any other Section under the Arbitration Act, nowhere permit a party to challenge such order passed by the Arbitrator pending the arbitration proceedings. It is neither final award and/or interim award. Therefore, there is no question of invoking even Section 34 of the Arbitration Act. The Arbitration Act permits or provides the power of Court to entertain or interfere with the order passed by the Arbitrator, only if it is prescribed and not otherwise. Section 5 of the Arbitration Act is very clear which is reproduced as under :

5 Extent of judicial intervention.-

Notwithstanding anything contained in any other law for the time being in force, in matters governed by this Part, no judicial authority shall intervene except where so provided in this Part.”

4 Therefore, the present Petition as filed itself is not maintainable.

5 The basic of the Petitioner appears to know the procedure which the Arbitrator is required to follow in conducting its affairs. There are no prescribed Rules, Regulations and/or guidelines provided under the Arbitration Act and, therefore, the Petitioner moved an application before the Arbitrator dated 4.08.2009 for deciding the procedure to be adopted by the Tribunal for conducting the arbitration proceedings. Admittedly, the parties have not agreed on the procedure to be followed by the Arbitral Tribunal. Therefore, all are bound by the provisions of the Arbitration Act for conducting the arbitration proceedings.

19 Determination of rules of procedure. - (1) The arbitral tribunal shall not be bound by the Code of Civil Procedure, 1908 (5 of 1908) or the Indian Evidence Act, 1872 (1 of 1872).

(2) Subject to this Part, the parties are free to agree on the procedure to be followed by the arbitral tribunal in conducting its proceedings.

(3) Failing any agreement referred to in subsection (2), the arbitral tribunal may, subject to this Part, conduct the proceedings in the manner it considers appropriate.

(4) The power of the arbitral tribunal under subsection (3) includes the power to determine the admissibility, relevance, materiality and weight of any evidence.”

6 Section 19 of the Arbitration Act, which is reproduced contemplates when the parties agree on a particular procedure to be followed by the Arbitral Tribunal, all are bound to follow the same, but in its absence, the Arbitral Tribunal is bound to conduct the proceeding in the manner it considers appropriate. It also means that the Arbitrator has power to determine the admissibility, relevance, materiality and weight in evidence though the provisions of the Code of Civil Procedure and/or Indian Evidence Act, are not binding upon the Tribunal.

7 The principles of natural justice, fair play, equal opportunity to both the parties and to pass order, interim or final, based upon the material/evidence placed by the parties on the record and after due analysis and/or appreciation of the same by giving proper and corr