VALMIKI J.MEHTA, J

1. By this petition under Section 34 of the Arbitration and Conciliation Act, 1996 the petitioner challenges the Award dated 9.8.2002 passed by the Sole Arbitrator. The only issue which has been decided by the impugned Award is with regard to the claim of the respondent herein (and who was the claimant in the arbitration proceedings) for reimbursement of the sales tax amounts which were illegally recovered by the petitioner herein from the bills of the claimant/respondent.

2. To appreciate the controversy, it is necessary to refer to certain Clauses of the Contract and which are Clauses 47, 50.5 and 50.6. These clauses read as under:

“Clause 47 The bid price shall include complete cost of all materials, equipments, labour, handling, transportation, transit insurance etc. required for the completion of works. The prices shall also be inclusive of any or all taxes, duties and levies etc. as provided in clause 50.3 and 50.5(a).

However, the prices shall be exclusive of the excise duty, levies, taxes etc. leviable on the various items manufactured/fabricated at contractor’s works for further erection at Project, duties and levies shall be reimbu