Neutral Citation Number: 2023:DHC:3072

O.M.P (COMM.) 399/2018

Page 1 of 15

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IN THE HIGH COURT OF DELHI AT NEW DELHI

Date of decision: 2^nd May, 2023

+

O.M.P. (COMM) 399/2018 & I.A. 1455/2019

UNION OF INDIA

..... Petitioner

Through:

Mr.Jaswinder Singh, Adv.

versus

M/S. MULTI TECH CONSTRUCTION CO. ..... Respondent

Through:

Ms.Anusuya Salwan, Mr.Rachit

Wadhwa, Mr.Bamkim Garg, Advs.

CORAM:

HON'BLE MR. JUSTICE NAVIN CHAWLA

NAVIN CHAWLA, J. (ORAL)

1.

This petition has been filed under Section 34 of the Arbitration and

Conciliation Act, 1996 (hereinafter referred to as the ‘Act’) challenging

the Arbitral Award dated 24.02.2018 and as further amended by

Additional Award dated 02.05.2018 passed by the learned Sole

Arbitrator.

2.

At the outset, it is relevant to note that the petitioner has partially

accepted the Arbitral Award as is reflected by its communication dated

30.07.2018 placed on record by the petitioner. The said communication

records the extent/area of agreement and disagreement with respect to the

nine claims raised by the respondent, in the form of a table, which is

reproduced herein below:

Digitally Signed By:SUNIL

Signing Date:08.05.2023

18:38:53

Signature Not Verified

Neutral Citation Number: 2023:DHC:3072

O.M.P (COMM.) 399/2018

Page 2 of 15

SN

Claim

No.

Total Awarded Amount

(INR)

Total Accepted

Amount (INR)

1

2

3

4

1. Claim

No. 1

18,31,923/-

16,48,935/-

2. Claim

No. 2

Nil

Nil

3. Claim

No. 3

4,44,962/-

4,44,962/-

4. Claim

No. 4

44,85,493/-

27,34,025/-

5. Claim

No. 5

18,00,000/-

Nil

6. Claim

No. 6

2,16,977/-

2,16,977/-

7. Claim

No. 7

Nil

Nil

8. Claim

No. 8

Interest amount

calculated @ 7.5% on

Claim No. 1,3,4&5 i.e.

on Rs. 85,62,378/-

(18,31,923 + 4,44,962 +

44,85,493 + 18,00,000)

for the period from

25.02.2016 to 24.02.2018

= Rs. 12,84,357/-

Interest amount

calculated @ 7.5%

on Claim No.

1,3,4&5 i.e. on Rs.

48,27,922/-

(16,48,935 +

4,44,962 +

27,34,025) for the

period from

25.02.2016 to

24.02.2018 =

Rs.7,24,188/-

9. Claim

No. 9

Rs. 5,00,000/-

Nil

3.

The disputes between the parties arose out of the Agreement

No.08/EE/LHD/2010-11 for the work of construction of Dharamshala for

Dr. R.M.L Hospital at Mandir Marg, New Delhi, including electrical

wiring.

CLAIM NO. 1:

4.

As far as Claim no.1 is concerned, the respondent had claimed

Digitally Signed By:SUNIL

Signing Date:08.05.2023

18:38:53

Signature Not Verified

Neutral Citation Number: 2023:DHC:3072

O.M.P (COMM.) 399/2018

Page 3 of 15

inter-alia the balance amount payable against the Final Bill under the

head of extra and substituted item rates. The learned Sole Arbitrator

considered the said claim and inter-alia held as under:

5.

The learned counsel for the petitioner, drawing reference to the

petitioner’s letter dated 16.04.2018, which he claims to be an application

under Section 33 of the Act filed before the learned Sole Arbitrator,

submits that it is the case of the petitioner that the learned Arbitrator has

awarded an excess amount of Rs.1,82,988.35 to the respondent, as was

explained by the petitioner in Annexure A1 to the said communication.

Primarily, the said objection is that instead of taking the average of DSR

2013 and DSR 2014, the learned Sole Arbitrator should have taken the

average of DSR 2012 and DSR 2013 on account of his finding that most

Digitally Signed By:SUNIL

Signing Date:08.05.2023

18:38:53

Signature Not Verified

Neutral Citation Number: 2023:DHC:3072

O.M.P (COMM.) 399/2018

Page 4 of 15

of the extra/substituted and deviated quantities of work have been

executed between October 2012 and April 2014.

6.

I am unable to find merit in the above submission of the learned

counsel for the petitioner.

7.

It need not be reem