( 1 ) THIS appeal is directed against a Judgment dated 2001, november, 2001 (Union of India v. Saraswat Trading Agency and Anr.)whereby the learned Judge has partly set aside an award passed by the arbitrator dated 9th September, 2000.

( 2 ) THE facts leading to the disputes in this present appeal are briefly enumerated as under: on or about 16th of May, 1990, the South Eastern Railway opened a tender for handling of goods, parcel and booked luggage at Itwari and other group stations. The appellant was declared as the lowest tenderer.

( 3 ) THE contract was ultimately awarded in favour of the appellant on 22nd August, 1991 and became effective on and from 3rd August, 1991 for a period of three years.

( 4 ) DUE to increase in the rate of wages to be paid by the appellant to the labourers engaged by it by reason of the circulars published by the respondent from time to time, the appellant demanded enhancement and/or revision of rates which was refused by the respondent on the ground that the contract was a "firm price contract" and that there was no clause for enhancement of rate in the contract.

( 5 ) ON or about 31st of December, 1992 due to the non-enhancement of t