1. Though this petition is directed against the communication dated 1.3.2007 (Annexure P-l), but in fact, it is to seek a restrain order against respondents not to effect recovery from the petitioner till adjudication of dispute by arbitrator.

2. Undisputed facts, petitioner was awarded contract for "Construction and of Maintenance of Rural Roads" under Pradhan Mantri Gram Sadak Yojna (PMGSY) in respect of package No. MP-3153 A.D.B, to be completed within the stipulated period of twelve months. Pursuant to this, work order was issued. Petitioner also furnished an unconditional performance guarantee in the sum of Rs. 75 lacs payable on demand without demure to the respondent No.1. The respondent No.2, the Oriental Bank of Commerce issued said performance guarantee in favour of respondent No.1. It is also not disputed that respondent No.1 terminated contract on 1.3.2007 and invoked the performance guarantee, consequently, the respondent No.2 issued the communication dated 6.3.2007 (Annexure P-4) advising petitioner to deposit amount of the performance guarantee. Hence this petition.

3. Shri Bagadia, learned senior counsel for the petitioner made two fold submissions. One, that no