D.Falshaw, J.

1. This is an appeal by the Union of India against the order of a Sub Judge at Delhi rejecting the Governments application for setting aside an arbitration award and making the award delivered by the Umpire after a difference between the arbitrators for the payment of Rs. 3,26,251-6-3 with costs and further interest at the rate of 41/2 per cent per annum in favour of the claimant, Mr. A. L. Rallia Ram, a rule of the Court.

2. The history of the case is as follows: In August 1946 the Chief Director of Purchases (Disposals) of the Food Department of the Government of India invited tenders for the purchase of the entire stock of American cigarettes lying with the Government. The claimants tender for the purchase of the whole stock at Rs. 0-8-3 per packet of 20 cigarettes was accepted by the acceptance note Ex. P. 9 dated the 9th of September, 1946, the total purchase price being Rs. 38,93,933-7-9. The stocks were lying in Assam and Calcutta and delivery was to be taken at Calcutta in five in stalemates against payment of instalments, and there is no doubt that the claimant actually paid a sum of over Rs. 17,70,000 to the Government. He actually took delivery of a