The scope of arbitration is limited to the disputes covered by the arbitration agreement, and the Arbitrators have no jurisdiction to decide any dispute beyond the scope of the arbitration agreement.

( 1 ) THIS Rule is at the instance of the petitioner Crompton Greaves Limited and it is directed against order No. 23 dated Sept. 22, 1977 of the learned Subordinate Judge, Burdwan. By the said order, the learned Subordinate Judge allowed the application of the opposite party Hindustan Steel Limited under Section 33 of the Arbitration Act, 1940.

( 2 ) IT appears that on Dec. 23, 1965 the petitioner and the opposite party entered into a contract for the erection of the power distribution system and putting them into commission on the "turn-key" basis to be executed by the petitioner, the contractor. After the "turn-key" job was completed and the power distribution equipment was put into commission, the petitioner found some surplus cables lying in its custody which were not incorporated in the said "turn-key", job. The petitioner claimed that the said surplus cables belonged to it while the opposite party claimed title and ownership to the same. So a dispute arose between the parties as to the ownership of the surplus cables. The contract dated Dec. 23, 1965 contained an arbitration clause and the dispute between the parties over the ownership of the surplus cables was referred to the arbitration of two Arbitrators one nominated by the petitioner and the other by the opposite party. After the Arbitrators had entered on the reference, the petitioner filed a statement of facts and the opposite party filed a Counter state of facts. The Arbitrators raised as many as 8 issues of which issues 4 and 5 are as follows :"4 (a ). Is the statement of quantities of surplus cables and their values made in Schedule "a" to the Statement of Facts correct ? (b) Is the claimant liable to render any account of cables imported or to deliver surplus cables, to the respondent as alleged in para 10 of the Counter State of Facts or at all ? (c) To whom the surplus cables belonged after completion of the entire construction works ? 5 (a ). If the property in the surplus cables had vested in the respondent, is the respondent liable to pay to the claimant the value thereof either under the terms of the contract or under the provision of Section 70 of the Indian Contract Act? (b) Is the Claimant entitled to be reimbursed the expenses incurred in connection with the storage, insurance etc. of and in respect of the surplus cables ? (c) Is the Respondent entitled to claim a set-off as alleged in Para. 18 (b) of the Counter State of Facts?"while the arbitration proceeding was going on, an agreement dated May 14, 1973, was entered into by and between the parties whereby various other disputes between them were settled. Clause 2 of the said agreement is as follows :"that the issue regarding the ownership of surplus cables already referred to Arbitration by both the parties under the terms and conditions of the subject contract shall be kept outside the scope of this agreement. "before the said agreement dated May 14, 1973, the petitioner examined one witness in the arbitration proceeding. The evidence of the second witness of the petitioner, who was examined after the said agreement dated May 14. 1973, was cancelled by consent of parties. Thereafter on Feb. 20, 1975, the opposite party made an application before the Arbitrators praying for the following orders :" (a) An order be made recording that all the disputes which are subject-matter of the present proceedings other than the dispute relating to the ownership or title of the cables in question have been adjusted by lawful agreement or compromise. (b) All the issues raised by the learned Arbitrators which do not relate to the question of ownership or title of the cables be expunged or deleted. (c) Directions be given on the claimant not to adduce or lead any evidence relating to the question other than the question of ownership or title of the cables. (d) Such further or other direction or directions be given and/or orders be made as may seem fit and proper to the learned Arbitrators. "it wa