M/s Reva Industries Ltd Through: Sh Balraj Goel, Managing Director, Plot No 28, Sector25, Faridabad121004, Haryana ............Respondent Date of institution : 22.08.2015 Date of decision : 09.06.2025 JUDGMENT 1. The present petition has been filed under Section 34 of the Arbitration and Conciliation Act, 1996 against the award dated 02.07.2015 bearing no. TS/HMSEFC/CASE NO.29 of 14 pleading inter alia as under : i. That the petitioner is an organization called COFMOW established under the Ministry of Railways by the Government of India for ARB No 584281/2016 Union of India Vs M/s Reva Industries Ltd Page No 1/29 modernizing Indian Railways workshops and act on behalf of President of India, the controller of stores, Central Organization for Modernization of Workshops, New Delhi, India. ii. That the present petition is being filed under Section 34 of Arbitration and Conciliation Act 1996 for setting aside the Arbitral award dt 02.07.2015 passed by Sh. R. P. Bhasin, Ld Sole Arbitrator (Retired Disrict & Sessions Judge) in case no 29/14. 2. Brief facts of the case: (a) That the petitioner had invited a tender for procurement of EOT Cranes vide tender bearing no. COFMOW/1625/06 which was opened on 18.01.2008. The petitioner issued letter of acceptance dated 08.05.2008 to the respondent. A formal contract dt 19.08.2008 was issued by the petitioner to the respondent under which the respondent was to supply 2 cranes at Hubli, Karnataka alongwith tools and tackles and maintenance spares. The total value of the cranes was of Rs. 46,09,669/. The respondent signed the same on 28.08.2008 vide their letter bearing no. R O 6637 signed by Ish Gupta, GM Contracts on behalf of the respondents as such the contract is binding upon both the parties. (b) That the respondent was supposed to supply 2 number of cranes as per the specification and terms and conditions of the contract. As per clause 1.10 of the contract the respondent was supposed to deliver the 2 cranes within 68 months from the date of approval of GA Drawings. The GA drawings were submitted by the respondents on 14.06.2008 and the same was approved by the consignee on 27.06.2008 and 02.07.2008 respectively. As per the terms of the contract the 2 cranes were required to be supplied by 26.02.2009 and ARB No 584281/2016 Union of India Vs M/s Reva Industries Ltd Page No 2/29 01.03.2009 but the same were supplied on 18.03.2009 hence there was a delay of 19 days and 16 days in supplying the material. Hence as per the petitioner it became entitled to deduct 2% liquidated damages of the total value of the contract as per clause 1002 of GCC bid documents partI. (c) As per the petitioner under clause 3200 of General Condition of Contract bid documents partI "in the event of any question, dispute or differences arising under the conditions or instructions of tenderer the same was to be referred to sole arbitration to the gazetted railway officer to be appointed by the Chief Administrative Officer of COFMOW, New Delhi, India and no other person could be appointed as the Arbitrator. (d) That the respondent supplied the goods/material as per the contract and raised an invoice and since the contractual obligation were not fulfilled within stipulated time period, the petitioner at the time of clearing the amount towards the invoice, deducted an amount of Rs. 78,858/ towards liquidated damages and made payment as per provision of clause 1002 of GCC bid document partI. (e) That the respondent without first raising a dispute or invoking the arbitration clause as per clause 3200 of GCC, the respondent on 03.07.2014 approached to Micro and Small Enterprises Facilitation Council of Haryana under Section 18(1) of the MSMED Act, 2006 seeking recovery of