THE HONOURABLE Ms.JUSTICE P.T.ASHA O.P.No.20 of 2010O.P.No.20 of 2010 award. In these circumstances, there is no infirmity or perversity in the finding of the learned arbitrator. Therefore, I do not find any ground for interfering with the award in so far it related to the second heading, namely, Claim for the payment of penal interest for the delay in payment of final bill. In fine, the award is set aside with reference to compensation granted under the head of loss of overhead charges and erosion of profit. However it is confirmed with reference to the interest granted on the delayed payment of money to the contract. The Original Petition is therefore partly allowed.

[2/10, 15:05] Sekarreporter: O.P.No.20 of 2010
IN THE HIGH COURT OF JUDICATURE AT MADRAS
DATED : 06.02.2020
C O R A M
THE HONOURABLE Ms.JUSTICE P.T.ASHA
O.P.No.20 of 2010
1.The Government of Tamil Nadu
Rep. by Superintending Engineer,
Highways Project Circle, Thanjavur.
2.The Divisional Engineer,
Highways Project,
Trichy. … Petitioners
-Vs.-
A. Rangasamy
S. Selvanayagam Thomas
K. Palanichamy
S.S. Kuppusamy … Respondents
Prayer: Original Petition filed under Section 34 of the
Arbitration and Conciliation Act, 1996 praying to set aside the
impugned award passed by the Arbitrator, dated 23.04.2009.
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[2/10, 15:06] Sekarreporter: O.P.No.20 of 2010
For petitioners : Mr. Sricharan Rangarajan
Special Government Pleader (CS)
For Respondent 1 : Mr.Y.Prakash
For Respondents 2-4 : No Appearance
ORDER
The respondents before the arbitral tribunal has challenged
the award passed against them in and by which they have been
directed to pay interest on delayed payments to the 1st
respondent herein as well as compensation for loss of overhead
charges and erosion of profits together with interest to the 1st
respondent. The facts in brief necessary for considering the
challenge to the award are herein below narrated.
The 1st respondent herein had invoked arbitral
proceedings for recovery of sum of Rs.11,30,591/- towards
interest on account of the delay in making the final payment.
As against the bill raised on 30.01.2000, the final payment was
made only on 04.03.2003. A sum of Rs.47,57,000/- was
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[2/10, 15:07] Sekarreporter: O.P.No.20 of 2010
award.
In these circumstances, there is no infirmity or
perversity in the finding of the learned arbitrator. Therefore, I
do not find any ground for interfering with the award in so far it
related to the second heading, namely, Claim for the payment of
penal interest for the delay in payment of final bill.
In fine, the award is set aside with reference to
compensation granted under the head of loss of overhead
charges and erosion of profit. However it is confirmed with
reference to the interest granted on the delayed payment of
money to the contract. The Original Petition is therefore partly
allowed. Consequently, connected Application is also closed.
No costs.
06.02.2020
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