Arbitral bias concerns led to substitution of the arbitrator to preserve confidence and keep proceedings dispute-free.

An arbitral tribunal was reconstituted after the petitioner expressed loss of confidence in the existing arbitrator and sought replacement to avoid further controversy in the proceedings. Without making any adverse finding on the arbitrator's conduct, the High Court considered it appropriate to appoint a retired High Court Judge as substitute arbitrator so that the reference could continue smoothly and without dispute. The request for appointment of another arbitrator was accepted, and the proceedings were directed to proceed before the newly appointed arbitrator.

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Issues: Whether, in the circumstances of the case, another arbitrator should be appointed under the Arbitration and Conciliation Act on the ground of apprehension of bias and to avoid further controversy in the arbitral proceedings.

Analysis: The petition sought substitution of the existing arbitrator on the ground that the petitioner had lost confidence in the impartiality of the arbitrator and also raised a grievance regarding the progress of the reference. Without entering into the controversy concerning the arbitrator's conduct or recording any adverse finding, the Court considered it appropriate to appoint a retired High Court Judge as arbitrator so that the proceedings could continue without further dispute.

Conclusion: A substitute arbitrator was appointed and the request for appointment of another arbitrator was accepted in favour of the petitioner.

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