State of Orissa & Ors. Vs. Raghunath Mohapatra.
(Arising out of S.L.P. (C) No. 12773/87.)
(Arising out of S.L.P. (C) No. 12773/87.)
Award of interest by the arbitrator – Following the decision in JT 1987(4) SC 8, the award was modified by deleting the award of interest during the pendente lite and during the period when the dispute arose to the date of the award.
2. State of Orissa and Ors v Construction India., JT 1987(4) SC 588.
1. Special leave granted.
2. The award is confirmed subject to the modifications indicated hereinafter. In the award interest has been granted from 14.9.1975 being the date when the dispute arose to 25.10.1982 being the date of the award. Insofar as in the award granting of interest for that period is concerned, the Arbitrator was not entitled to award interest in view of the observations of this Court in EXECUTIVE ENGINEER (IRRIGATION) BALIMELA AND ORS. VS.ABHADUTA JENA AND ORS.* (1988 1 SCC 418 at 435) and also the interest granted during the pendente lite. It has also been so observed by this Court in S.L.P. (C) No. 7389 of 1987 on 4.12.1987 in STATE OF ORISSA AND ORS. VS.CONSTRUCTION INDIA**. In that view of the matter the award is modified by deleting the awarding of interest during the pendente lite and for the period from 14.9.1975 to 25.10.1982 and rest of the award is confirmed.
3. The appeal is disposed of accordingly.