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Court condones delay in special leave petition, upholds Arbitrator's interest award, with costs to respondent. The delay in filing a special leave petition was condoned by the Court due to circumstances including obtaining a certified copy of the judgment and ...
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Court condones delay in special leave petition, upholds Arbitrator's interest award, with costs to respondent.
The delay in filing a special leave petition was condoned by the Court due to circumstances including obtaining a certified copy of the judgment and reference to a larger Bench regarding awarding interest by the Arbitrator. The Court acknowledged the delay, but after considering the reasons provided, allowed the appeal on the condition that the petitioner pays costs to the respondent. The Court upheld the award of interest by the Arbitrator based on precedent, setting aside previous decisions and directing the decree to be in line with the award.
Issues involved: Calculation of delay in filing special leave petition, condonation of delay, award of interest by Arbitrator.
In the present case, the special leave petition was marked as time-barred by 214 days, but the petitioner argued that the delay was actually 150 days after excluding the time taken to obtain a certified copy of the judgment. The delay in filing the petition was acknowledged, with the certified copy obtained on 16-11-1990 and the petition filed on 15-7-1991. Despite the dismissal of an appeal by the Union of India on 18-3-1991, the petitioner only instructed counsel to file the special leave petition on the same day due to a reference to a larger Bench regarding the award ability of interest by the Arbitrator. The subsequent delay was attributed to gathering necessary particulars and the court's vacation period. Considering these circumstances, the Court condoned the delay on the condition that the petitioner pays costs of Rs. 5,000 to the respondent.
Regarding the award of interest by the Arbitrator, the Court referred to a previous decision in Secretary, Irrigation Department v. G.C. Ray 1992 AIR SCW 389 and held that the interest was rightly awarded. Consequently, the civil appeal was allowed, and the decree was to be in terms of the award. The orders of the learned single Judge and the Division Bench were set aside, and no costs were awarded in this regard.
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