Advocates:
['KAUSTAV PANDA', '', 'ATANU BANERJEE', 'SHRESTH GAUTAM', '', 'RAHUL DEV', 'OMPRAKASH', 'YOGENDRA YADAV']

1

IN THE HIGH COURT OF JHARKHAND AT RANCHI

W.P.(C) No.4132 of 2018

With

I.A. No.7216 of 2021 & I.A. No.508 of 2022

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1. The State of Jharkhand through the Deputy Commissioner,

Seraikella Kharsawan.

2. The Chief Engineer, Subernrekha Multipurpose Project, Chandil

Complex, Subernrekha Bhawan, Adityapur, Jamshedpur.

3. The

Superintending

Engineer,

Subernrekha

Canal

Circle,

Jamshedpur.

4. The Executive Engineer, Subernrekha Canal Division, Chandil.

.......... Petitioners.

-Versus-

M/s. B.M.S. Associates, 11, MIG Adarsh Nagar, Sonari, Jamshedpur,

through its partner Sri B. N. Dikshit.

.......... Respondent.

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CORAM : HON’BLE MR. JUSTICE RAJESH SHANKAR

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For the Petitioners :

Mr. Sachin Kumar, AAG-II,

Mr. Gaurav Raj, A.C. to AAG-II

For the Respondent :

Mr. Ajit Kumar, Sr. Advocate

Mr. Indrajit Sinha, Advocate

Mr. Shresth Gautam, Advocate

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Order No.12

Date: 18.04.2022

1.

The present writ petition has been preferred for quashing the order

dated 15.02.2019 passed by the Civil Judge (Senior Division-II),

Seraikella in Money Suit No.07 of 2010(S), whereby the learned court

below has appointed Vijay Kumar Srivastava, retired In-charge Chief

Engineer, Rural Works Department, Government of Jharkhand as an

arbitrator by recalling the earlier order dated 20.01.2018 whereby Late

Anil Kumar, retired Chief Engineer, Government of Jharkhand was

appointed as sole Arbitrator.

2.

The factual background of the case, as stated in the writ petition, is that

the respondent filed a suit being Money Suit No.07 of 2010 in the Court

of Sub-Judge, Seraikella against the petitioners seeking a decree of

Rs.56,17,093/-, as detailed in schedule A, B and C of the plaint and also

for cost of the suit. The petitioners filed an application before the said

Court on 12.10.2012 through Additional Government Pleader (AGP) for

referring the matter to an arbitrator under Clause 23 of the conditions

of contract of the agreement, whereupon the court below vide order

dated 22.04.2015 appointed Superintending Engineer, Subarnrekha

Canal Circle, Jamshedpur (petitioner no.3/defendant no.3) as an

arbitrator. The respondent filed a petition on 24.11.2017 under Section

2

151 CPC for modification of the order dated 22.04.2015, stating that

after insertion of a new provision i.e. Section 12(5) by way of

amendment in the Arbitration and Conciliation Act, 1996 (hereinafter to

be referred as ‘the Act, 1996’), which had come into force with effect

from 23.10.2015, the Superintending Engineer, Subarnrekha Project

could not have acted as an arbitrator. Subsequently, the petitioners filed

rejoinder to the petition filed by the respondent on 12.01.2018 through

the Government Pleader (GP), praying, inter alia, to recall the order

dated 22.04.2015 and to appoint any other person as neutral arbitrator

for which the petitioner had no objection. Thereafter, the petitioners

and the respondent filed a joint petition before the court below

providing name of an arbitrator to decide the dispute, whereupon the

court below vide order dated 20.01.2018 appointed one Anil Kumar,

retired Chief Engineer, Government of Jharkhand as an arbitrator. In

the meantime, the petitioners filed the present writ petition on

16.08.2018 with a prayer to quash the order dated 20.01.2018 passed

by the Civil Judge (Senior Division-II), Seraikella. The petitioners also

filed an application under Section 16 of the Act, 1996 before the

Arbitrator, raising objection to his jurisdiction, which was rejected vide

order dated 10.08.2018. The said arbitrator thereafter died on

11.10.2018. The respondent then filed an application under section 42

of the Act, 1996 for appointment of a new arbitrator. The said

application was allowed by the court below vide order dated

15.02.2019, appointing one Vijay Kumar Srivastav, retired In-charge

Chief Engineer, Rural W