J U D G M E N T

1.This writ petition is filed, challenging the arbitration award passed under the Co-operative Societies Act (for short, “the Act”), which is confirmed and modified by the Kerala Co-operative Tribunal, Thiruvananthapuram in appeals filed by both the plaintiff and the defendant.

2.The writ petitioner is the defendant in the arbitration claim filed by the 1st respondent herein. The petitioner and the 1st respondent entered into a contract for supply of raw cashew, pursuant to which, the 1st respondent supplied raw cashew to the petitioner. On account of non payment of the amount pursuant to the supply of raw cashew, the 1st respondent filed the claim under Sections 69 & 70 of the Act r/w Rule 67 of the Cooperative Societies Rules and Circular No.42/2003 of the Registrar of Cooperative Societies before the Registrar of Cooperative Societies, Thiruvananthapuram. The total demand was ₹

2,05,21,087/- together with interest @ 12.5%. This amount also comprised interest for the belated payment as well. The arbitrator, vide Ext.P3, awarded a sum of ₹

1,56,58,122/-, which includes the principal amount of ₹ ₹

1,36,52,072/- and interest of 19,79,550/- @ 6% on the principal amount fr