( 1 ) THIS appeal is against an order dated the 26th of November 1976 passed by Salil K. Roy Chowdhury, J. by which he refused to grant stay on an application made under Section 34 of the Indian Arbitration Act.

( 2 ) THE relevant facts are as follows : on the 30th of Aug. 1972 the respondent No. 2, Jain and Associates, placed an order with the appellant, Steel Plant Private Limited for purchase of an electric Arc Furnace at Rs. 11,25,890/- with transformers and other accessories on terms and conditions specified in the order. The order was accompanied by an initial advance of Rs. 80,000/- with a request to send the formal contract in quadruplicate in confirmation of acceptance of the order and starting the work. By a letter dated the 8th of Sept. 1972 the appellant petitioners granted the receipt for a sum of Rs. 80,000/- and recorded that the order had been registered for delivery within thirty months. Formal acceptance was made on the 20th Sept. 1972. On the 7th of Oct. 1972 four copies of acceptance of the order dated the 20th of Sept. 1972 were forwarded by the appellant for signature of respondent No. 2. In or about March, 1973 the respondent No. 2 request