Arb. Case No. 34 of 2007. 10.01.2008 Present: Mr. Sunil Mohan Goel, Advocate, for the claimant-petitioner. Mr. Shrawan Dogra, Advocate, for the respondents. It is a very very unfortunate case where in total disregard to the provisions of the Arbitration and Conciliation Act, 1996 the Arbitrator initially appointed by the respondents on 26th April, 2003 did not either act in the arbitration proceedings or proceed further in the matter leading to a situation where after almost four years from the date of his appointment a new Arbitrator had to be appointed. The Chief Engineer, Larji Hydro Electric Project, HPSEB, Sarabai (Bhunter) had appointed the Chief Engineer (Arbitration) HPSEB, Kasumpti Shimla as the sole Arbitrator on 26th April, 2003. It is the undisputed case of the petitioner before me that for full four years thereafter this Arbitrator did nothing in the matter. On 17th January, 2007 the same appointing authority after cancelling the order of appointment of the first Arbitrator, appointed the Director, Office of the Chief Engineer, (PSP), HPSEB, Shimla as the new sole Arbitrator. In para 7 of the application the petitioner has contended that the newly appointed arbitrator held first hearing in the case on 10th April, 2007 and fixed the next date of hearing on 24th May, 2007, when, however, the case was adjourned without communicating the next date of hearing. Nothing has happened in the case thereafter. In the reply filed by the respondents this factual assertion has not been denied or disputed. It means that even the new Arbitrator despite the fact that his appointment was made exactly a year back has done nothing in the arbitration proceedings so far. He has wasted one precious year of the parties. This is an act of gross negligence bordering on culpability. -2- In normal circumstances I should have removed the new Arbitrator as well and appointed an independent Arbitrator, but on the specific request of Mr. Shrawan Dogra, learned Counsel appearing for the respondents and based upon the solemn assurance given by him to this Court on behalf of the respondents as well as the new Arbitrator, I for the time being, do not exercise my jurisdiction of removing the new Arbitrator and while disposing of this petition and based upon the aforesaid statement as well as undertaking of Mr. Dogra issue hereinbelow mentioned directions:- (1) The next date of hearing before the new Arbitrator is hereby fixed as 21st January, 2008 in his office at 11.00 AM. (2) The new Arbitrator shall proceed with the Arbitration proceedings from the stage left over by the erstwhile Arbitrator. (3) The arbitration proceedings shall be completed in all respects and arbitral award shall be passed latest by 30th June, 2008. No avoidable adjournment shall be granted to any party and the Arbitrator shall ensure that there is not a gap of more than two weeks between the two adjournments. The petition is disposed of. January 10, 2008. (V.K. Gupta), C.J. (rc)