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1958 Supreme(Cal) 94

P.B.CHAKRAVARTTI, S.C.LAHIRI
GHOSH SINGH PARTNERS LTD. – Appellant
Versus
UNION OF INDIA (UOI) – Respondent


Advocates Appeared:
G.P.KAR

P. CHAKRAVARTTI, C. J.

( 1 ) THE only question involved in this appeal is whether between the appellant company and the Union of India, there is a binding arbitration agreement. Sarkar, J. , has held that there is none. He was invited by the appellant to make appropriate orders with regard to an agreement set up by it, but he declined to do so in the view that the agreement, being contained in a contract which did not accord with Section 175 (3) of the Government of India Act 1935, could not bind the Union of India. The appellant questions that finding and contends that, although the contract containing the agreement was not executed in accordance with the provisions of Section 175 (3), those provisions are only directory and the contract accordingly was not void.

( 2 ) SINCE the only question canvassed before us was a pure question of law, it is not necessary to state the facts in detail. It will be sufficient to say that the appellant company entered into a contract with the General Manager of the East Indian Railway, Calcutta, and the Engineer-in-Chief for the Loco Building Works Project, Mihijam, for the supply of two crores of bricks during the year 1948-49. The appellant's























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