Judgment

Majmudar, J.-Leave granted in SLP (C) No. 6307 of 1996.

We have heard learned senior counsel for the parties in these two appeals.

2. Both these appeals by special leave arise out of one and the same judgment rendered by the High Court of Judicature at Allahabad.

3. In Civil Appeal No. 7643 of 1995, the appellant-State of U.P. has brought in challenge the aforesaid order of the High Court dismissing its appeal against the award decree passed by the learned Trial Judge subject to a slight modification in favour of the appellant-State to which we will make a reference while considering the cross-appeal arising out of SLP (C) No. 6307 of 1995. The cross-appeal is filed by the respondent Harish Chandra & Co. in Civil Appeal No. 7643 of 1995 who has felt aggrieved by the modification regarding rate of interest as ordered by the High Court in the impugned judgment to the extent it reduced interest from 15 per cent per annum as awarded by the trial Court from the date of decree till payment to 6 per cent.

4. A few facts leading to the controversy in question may be stated at the outset. On 26th October, 1979, an agreement was entered into between the Suprintending Engineer, Irrigati