M/S Hemkund Steel Industry (A-1088) v. Union Of India And ORS.

IN THE HIGH COURT AT CALCUTTA

[ CIRCUIT BENCH AT PORT BLAIR ] *** AP/18/2025 M/s Hemkund Steel Industry (A-1088) Vs.

Union of India and others Mr. Akash Shukla [through virtual mode] Mr. Ruban Antony ...for the petitioner Mr. V.D. Sivabalan ... for the respondents January 6, 2026 [SR] Item No.18 After hearing the parties, it appears that the disputes and differences have arisen between the parties in connection with execution of a work allotted to the petitioner being the successful bidder under the tender being bid number 975524. The work value is Rs.9,76,01,769.40. The contract provided for a mechanism of resolution of disputes by invoking clause 7(b) of the subject tender. That apart clauses 70 and 71 of the General Conditions of Contract (in short GCC) was made part of the tender conditions.

The arbitration mechanism as provided in Clause 7 (b) of the tender conditions as also in Clauses 70 and 71 of GCC for adjudication of disputes by a sole arbitrator.

Act, 1996 followed by several Supreme Court's judgments starting from TRF Limited -vs- Energo Engineering Projects Limited (2017) 8 SCC 377.

It is also prima facie apparent that the claims made by the petitioner are live claims and are not stale ones. The arbitration agreement has been duly invoked. There has also been failure on the part of the respondent to suggest a name of Arbitrator since the appointment mechanism under the arbitration agreement as stated hereinabove stood eliminated. In the aforesaid facts and circumstances, I appoint the Hon'ble Justice T. S.Sivagnanam, former Chief Justice of this Court as the Sole Arbitrator to enter into the reference and adjudicate the disputes and differences between the parties. The learned Arbitrator so appointed shall be entitled to fix his fees in consultation with the parties in view of the ratio laid down in the judgment of the Hon'ble Supreme Court reported in (2024) 4 SCC 481 (Oil and Natural Gas Corporation Limited vs. Afcons Gunanusa JV).

The learned Arbitrator shall also be free to decide on the venue of the arbitration in consultation with the parties. The parties shall ensure appropriate accommodation and air tickets befitting to the standards of the learned Arbitrator for holding the arbitration sittings and share the cost thereof equally amongst themselves. The cost of secretarial assistance to the learned Arbitrator, the venue charges and other incidental expenses for holding the arbitral sittings shall be shared by the parties equally on actual basis. The arbitration proceedings

shall be held in accordance with the Arbitration and Conciliation Act, 1996 as applicable and in terms of the laws of India.

AP/18/2025 is accordingly disposed of.

( Arindam Mukherjee, J. )