O.M.P.--639/2008. Case: GOVT OF N.C.T OF DELHI Vs. M/S YASIKAN ENTERPRISES PVT. LTD. High Court of Delhi (India)

Case NumberO.M.P.--639/2008
CitationNA
Judgement DateOctober 16, 2018
CourtHigh Court of Delhi (India)

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* IN THE HIGH COURT OF DELHI AT NEW DELHI

Reserved on : 28th September,

Date of decision:16th October,

+ O.M.P. 639/2008, I.As. 8293/2018 & 8294/2018

GOVT OF N.C.T OF DELHI ..... Petitioner

Through: Ms. Jyoti Taneja,

(M:9999500069)

versus

M/S YASIKAN ENTERPRISES PVT. LTD ..... Respondent Through: Mr. Sanjeev Narang,

(M:9810064624)

CORAM:

JUSTICE PRATHIBA M. SINGH

JUDGMENT

Prathiba M. Singh, J.

  1. This is an application seeking condonation of delay of 21 days in filing the restoration application being I.A. No.8293/2018. For the reasons stated in the application, the same is condoned. I.A. is disposed of.

    I.A. No. 8293/2018 (restoration of OMP 639/2008)

  2. This is an application seeking recall of order dated 2nd

    2016, whereby OMP 639/2008 was dismissed for non-prosecution. reasons stated in the application, the same is allowed, and OMP 639/2008 is restored. I.A. is disposed of.

    O.M.P. 639/2008

  3. The present appeal has been filed by the Government of NCT of (hereinafter ‘Government’) challenging the award dated 1st Septe

    passed by the Sole Arbitrator. The brief facts are that the Government called a tender on 10th August, 2000 for providing sanitation and services inside and outside the building including reception services from

    O.M.P. 639/2008 Page

    I.A. No. 8294/2018 (delay of 21 days in filing restoration application)

    designated places for the Delhi Sachivalaya/Secretariat, I.P. Estate, New Delhi.

  4. The tender proforma contained various terms and conditions. One M/s Yasikan Enterprises - a sole proprietary concern of Shri Jagdish Kumar with its address at 6504/8, Navi Karim, Pahar Ganj, New Delhisubmitted his offer on 16th August, 2000. On 4th January, 2001, the contract for sanitation services was entered into with M/s Yasikan Enterprises. A clarification was issued on 13th December, 2000. The contractor started raising bills. It was the Government’s case that the contractor was entitled t only a sum of Rs.73,652/- per month as per the calculation submitted,

    on measurements provided by Public Works Department “PWD”). The contractor claimed that he is entitled to Rs.2,63,982/ month. The disputes between the parties were referred to arbitration in terms of the following arbitration clause: - “23. In case of any dispute or difference, the award of the Arbitrator appointed by the Lt. Governor of GNCT of Delhi will be final and binding on the parties to the contract and the court at Delhi/New Delhi shall only have the jurisdiction over the same.”

  5. The arbitration clause was invoked by M/s Yasikan Enterprises Pvt. Ltd. which is a company registered under the Companies Act, 1956. representation was made to the Lieutenant Governor invoking and vide letter dated 24th September, 2004, the Arbitrator was appointed. The total claims raised by the contractor are as under: -

    S. no

    1,18,79,190.00

    O.M.P. 639/2008 Page

    Particulars Amount (in Rs.)

  6. Payment due from January, 2001 to September 2004 i.e., @Rs.2,63,982/- per month for 45

    months.

    (Rs.2,63,982/-x45)

  7. Payment received from January 2001 to February 2002 i.e. @Rs.2,06,619/- per month as earlier passed for 14 months

    Rs.2,06,619/-x14

  8. Balance Amount Due upto September 2004

    1,16,34,352.00

    Add Interest @24% Per

    Annum

  9. The Arbitrator’s award in respect of each of the claims is as under: “CLAIM No. (a):

    AND

    Rs.20,00,000/- on account of loss of other business/tender.

    CLAIM NO. (d) : Rs.5,00,000/- for mental agony and the harassment.

    2.1 Finding of Arbitrator and Award:

    The claimants failed to establish claim No. (c) & (d) with documentary evidence. Further, these claims are of very indirect nature, which are not at all payable under 1... contract act except the loss of interest which

    O.M.P. 639/2008 Page

    28,55,838.00

    90,23,352.00

  10. Loss of other business/Tenders 20,00,000.00

  11. Mental Agony/grave harassment 5,00,000.00

  12. Litigation Expenses 1,11,000.00

    Total Amount of claim (Total of S.No.3 to 6)

    Rs.26,39,82/- per month of the bill as claimed by claimants .

    CLAIM No. (b): Rs.90,23,352/- outstanding bills

    (i.e. upto September, 2004.)”

    On this claim the arbitrator awarded a sum of Rs.34,98,912/-.

    “CLAIM NO. (c) :

    AND

    is being dealt separately in Claim No. (1.... As such I hold that claimants are not entitled for these claims and I award ‘Nil’ amount claimants against Claim No.

    (c) & Claim No...

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