1. By this petition filed under section 14 of the Arbitration and Conciliation Act, 1996 (for short 'Arbitration Act 1996), the petitioner seeks declaration that the mandate of the learned Arbitrator, respondent no.1 herein stood terminated under section 14 of the Arbitration Act 1996, and the petitioner is entitled to approach the Micro and Small Scale Scale Enterprises Facilitation Council constituted under the provisions of the Micro, Small and Medium Enterprises Development Act, 2006 (for short 'the Act of 2006) and the said Council is entitled in law to adjudicate the disputes between the parties.

2. The relevant facts for the purposes of deciding this petition are as under:

(a) On 12.4.1999 and 4.5.2000, two separate contracts were entered into between the petitioner and the 2nd respondent for supply of LPG cylinders by the petitioner to the 2nd respondent for year 1999-2000 and 2000-2001. It is case of the petitioner that the 2nd respondent illegally and wrongly withheld/deducted the various amounts due and payable to the petitioner.

(b) By letter dated 31.10.2000, the respondent no.2 decided to revise the basic price of 14.2 kg. Cylinder to Rs.645/- with effect from 1.7.1999. By letter dated 3.11.2000, the respondent no.2 sent a circular stating that the differential amount towards revised price in previous basic price per cylinder at Rs.645/-with effect from 1.7.1999 would be recovered from future bills submitted by the petitioner subject to final adjustment upon finalization of the cylinder prices.

(c) Petitioner filed a petition under section 9 of the Arbitration Act 1996 in this Court seeking injunction against the 2nd respondent from initiating recoveries pursuant to the letters/circulars dated 31.10.2000 and 3.11.2000. This court by an order dated 2.4.2001 dismissed the said petitions. By an order dated 11.6.2002, the Division Bench of this court dismissed the appeal filed by the petitioner.

(d) By letter dated 21.1.2003, the petitioner called upon the respondent no.2 to appoint an independent impartial Arbitrator including retired judge. On 10.4.2003, the petitioner filed arbitration application bearing no.156 of 2003 under section 11(6) of the Arbitration Act 1996 for appointment of the Arbitrator. During the pendency of the said application, the respondent no.2 appointed Mr. A.M. Jagdale, Dy. General Manager (Cons.Sales) of the respondent no.2 as sole arbitrator. By an order dated 17.9.2003, the arbitration application filed by the petitioner came to be dismissed. Appeal filed by the petitioner against the said order dated 17.9.2003 was also dismissed.

(e) By letter dated 22.6.2003, Mr. A.M. Jagdale, the learned arbitrator appointed by the respondent no.2 accepted his nomination to arbitrate the disputes between the petitioner and the respondent no.2. On 9.1.2004, the petitioner filed an application under section 12 of the Arbitration Act 1996 challenging the appointment of the learned arbitrator. The respondent no.2 filed their reply to the said application on 2.3.2004. The petitioner filed written arguments before the learned arbitrator. By an order dated 18.6.2004, the learned arbitrator rejected the said application filed by the petitioner on 9.1.2004.

(f) On 28.7.2004, the petitioner filed statement of claim before the learned arbitrator. On 27.1.2005, the 2nd respondent filed written statement. On 25.2.2005, the petitioner filed its rejoinder before learned arbitrator.

(g) On 25.2.2005, the petitioner filed application under section 18 and 24 of the Arbitration 1996 for discovery and inspection. By an order dated 26.8.2005, the learned arbitrator rejected the said application and directed submission of affidavit in lieu of oral examination.

(h) There were several arbitration proceedings pending before the learned arbitrator Mr. A.M. Jagdale filed by various such suppliers against the respondent no.2 herein which were represented by the same Advocate. On 29.11.2005, the learned arbitrator Mr