https://www.taxtmi.com/caselaws?id=442006 Whether an HC can modify an arbitral award by reducing interest was determined under s.31(7) and s.34 of the Arbitration and Conciliation Act, 1996. Since the arbitration commenced after the 1996 Act came into force, the statutory scheme permitting post-award interest at 18% p.a. applied, and court interference was confined to the narrow grounds in s.34, which allow only setting aside (not modification) and only for illegality going to the root of the matter. As the tribunal's interest direction disclosed no s.34 infirmity, the HC lacked power to reduce it. The SC set aside the HC's modification, reinstated 18% p.a. interest (past, pendente lite, and future), and directed payment within 8 weeks. en-us Fri, 11 Aug 2023 00:00:00 +0530 Fri, 19 Dec 2025 13:13:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=442006 Whether an HC can modify an arbitral award by reducing interest was determined under s.31(7) and s.34 of the Arbitration and Conciliation Act, 1996. Since the arbitration commenced after the 1996 Act came into force, the statutory scheme permitting post-award interest at 18% p.a. applied, and court interference was confined to the narrow grounds in s.34, which allow only setting aside (not modification) and only for illegality going to the root of the matter. As the tribunal's interest direction disclosed no s.34 infirmity, the HC lacked power to reduce it. The SC set aside the HC's modification, reinstated 18% p.a. interest (past, pendente lite, and future), and directed payment within 8 weeks. Case-Laws Indian Laws Fri, 11 Aug 2023 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=442006