1999 (4) TMI 643

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....s : E.C. Agarwala, Adv. JUDGMENT S. Rajendra Babu, J. 1. This appeal arises out of certain arbitration proceedings between the parties to this appeal resulting in an award made on February 29,1988. The Arbitrators by their award directed that the appellant shall pay to the respondent as follows : (i) US $ 1004.50 being interest on US $ 40, 102.97 at 12% p.a. from 10.12.1985 to 16....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....herefore, submitted that Arbitrators could not have further awarded interest on the claims awarded at 12% per annum from the date of award till realisation, He did not dispute, and very fairly and correctly, that the Arbitrators do have the power to grant interest on the amount claimed in the arbitration and the power of the Arbitrators was very characteristically described by him as 'before, ....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ent. That is how the claim for interest on delayed payment stood crystallized by the time the claim was filed before the Arbitrators. Therefore, the power of the Arbitrators to grant interest on the amount of interest which may, in other words, be termed as interest on damages or compensation for delayed payment which would also become part of the principal. If that is the correct position in law,....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....pleading raised before the Arbitrators. It is stated at para 10(a) as follows : The present arbitration itself is barred by limitation as the alleged claims are relating to the work done in 1981-82 This is a very bald statement without setting out the details as to how the claim made by the respondent before the Arbitrators have become barred by the limitation particularly when t....