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2007 Supreme(Ori) 66

A.K.PARICHHA
Kalinga Mining Corporation – Appellant
Versus
Arbind Construction Company Pvt. Ltd. – Respondent


Advocates:
For Appellants:M/s. S. P. Misra, S. Dash, S. Misra, B. Mohanty & B. S. Panigrahi
For Respondents:M/s. Bijan Ray, Sr. Adv. M. Kanun¬go, D. Badhan, A. N. Das, Y. Mohanty, S.K. Mishra (For R-1);
M/s. P. K. Samantaray & M. R. Das (For R - 2 & 5);
M/s. S. N. Biswa, S. Mohanty,
(For R - 3 & 4)
M/s. R.K.Mohanty, D.Mohanty, S. K. Mohanty & A. P. Bose (For R - 6 & 7)

JUDGMENT

A. K. PARICHHA, J. — In this appeal the order of status quo passed under Section 9 of the Arbitration and Conciliation Act, 1996 (for short called as “the Act”) by the learned District Judge, Cuttack in Arbitration Proceeding No.28 of 2006 is under challenge.

2. The appellant is a partnership firm carrying on busi¬ness of mining operation. It obtained three mining lease from the Government of Orissa for mining of specific ore and executed mining lease agreements dated 22.6.1973, 22.6.1973 and 11.12.1990. As the appellant found difficulties to execute the mining activities, it entered into an agency agreement dated 14.3.1991 with respondent No.1 and executed irrevocable power of attorney dated 25.3.1991 giving Respondent No.1 the authority to execute the mining work for and on their behalf. Respondent No.1 thereafter used its own resource, personnel and continued the agency activity. The agency agreement was last extended for a period of 3 years with effect from 1.4.2003 stipulating virtually the same terms and conditions as in the original agency agree¬ment. When the matter stood thus, the respondent No.1 vide its letter dated 9.11.2005 submitted a proposal to extend the a































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