The present Petition is filed under Section 34 of the Arbitration and Conciliation Act, 1996 (for short the Arbitration Act), challenging the impugned award dated 31st March, 2006, passed by the Arbitrator, appointed by the Central Registrar of Co-operative Societies, vide order dated 23rd January, 2003, under Section 84 of the Multi-State Cooperative Societies Act, 2002 (the MSCS Act).

2. The basic events are as under:-

On 11/04/2004, a claim petition was filed by the Respondent-Bank before the learned Arbitrator, Mr. R.A. Dalvi, against the Petitioners. On 11/11/2004, an order of attachment before judgment was passed. The execution Application No. 405 of 2004 filed by the Respondent Bank. On 23/11/2004, Chamber Summons No. 1727 of 2004 filed in above Execution Application.

3. On 25/08/2005, this Court in Chamber Summons No. 1727 of 2004 vacated the order of attachment.

4. On 14/09/2005, Appeal No. 791 of 2005, preferred by the Respondents from order dated 24/08/2005 was withdrawn.

5. On 16/09/2005, a statement of defence filed by Petitioner No.2.

6. On 08/10/2005, an application by the Petitioners under Section 13/16 of the Arbitration Act, before the Arbitrator. On 24