1. Mahanagar Telephone Nigam Limited (‘MTNL’) has filed this petition under Section 34 of the Arbitration & Conciliation Act, 1996 (‘Act’) challenging an Award dated 12th March, 2003 passed by the Arbitral Tribunal (‘AT’) in the disputes between MTNL and the Respondent, Haryana Telecom Limited (‘HTL’).

2. The background facts are that MTNL floated a tender dated 4th March, 1994 for procurement of 55 LCKM of underground Jelly Filled Telephone Cables ranging between 10 to 2400 pairs. Pursuant to the above tender, HTL submitted an offer which was accepted by MTNL. Pursuant thereto, MTNL issued the following Purchase Orders (‘Pos’) to HTL:

(a) 20-80(527)/94-MM/HTL/94-95/56 dated 16-8-1994.

(b) 20-80(527)/94-MM/HTL/94-95/89 dated 21-9-1994.

(c) 20-80(527)/94-MM/HTL/94-95/91 dated 29-9-1994.

(d) 20-80(527)/94-MM/HTL/94-95/108 dated 18-10-1994.

3. The relevant clauses in the Contract pertaining to delays in the supplier’s performance and levy of liquidated damages (‘LD’) read as under:

“15. Delays in the supplier's performance

15.1 Delivery of the goods and performance of services shall be made by the supplier in accordance with the time schedule specified by the purchaser in its purcha