In the matter of the aforesaid Suit No. 736 of 1978, hereinafter referred to as 'the suit ', the first defendant after receiving summons 481 and entering appearance moved on 25th April, 1979 and appli cation under section 34 of the , here inafter referred to as 'the Act ', impleading the plaintiff (instant appellant) as first respondent and Canara Bank second defendant as second respondent stating, inter alia, that the agreement as modified on 2nd February, 1978 con tained an arbitration clause; that the agreement has been and is perfectly binding and not violative of the conditions of the permission granted by the Controller of Imports & Exports; that the defects in the refrigeration system as alleged are factually wrong; that the plaintiff, his serv ants and agents have themselves materially deteriorated the machines and hence no amount was payable to the plaintiff as claimed in the plaint; and that all the disputes, conten tions alleged to have arisen between the plaintiff and the defendant were wholly covered by the said arbitration clause contained in the agreement which was binding between the parties.