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 reserving the Judgment : 04.12.2025 Date of decision : 11.12.2025 JUDGMENT 1. (i) That the petitioner is an organization called COFMOW established under the Ministry of Railways by the Government of India for 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. ARB No 584287/2016 Union of India Vs M/s Reva Industries Ltd Page No 1/32 (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 District & Sessions Judge) in case no 36/14. 2. Brief facts of the case as per the petitioner : (a) That the petitioner had invited a tender for procurement of EOT Cranes vide tender bearing no. COFMOW/IR/OP1853/09 which was opened on 29.05.2009. The petitioner issued letter of acceptance dated 29.01.2010 to the respondent. The contract was given to the respondent for supply of crane alongwith tools and tackles and maintenance spares on 31.03.2010. The total value of the crane was of Rs. 32,20,320/. The contract alongwith its terms and conditions was received by the respondent vide their letter bearing no R O 12239 Cont No 2785 dt 13.04.2010 signed by Ish Gupta, GM Contracts on behalf of the respondents as such the contract is binding upon both the parties. As per the contract, the respondent was supposed to supply one crane at KGP (Kharagpur) West Bengal which falls under the jurisdiction of office of Dy Chief Electrical Engineer (W) SE Rly. Kharagpur, Workshop, Kharagpur, West Bengal. (b) That the respondent was supposed to supply the crane as per the specification and terms and conditions of the contract which was agreed by the respondent and was also binding upon the parties. As per Clause 1.9 of the contract the respondent was supposed to submit the GA drawings for approval to the consignee within 4 weeks from the date of issue of order. But the GA drawings were submitted by the respondents on 04.06.2011 which is delayed by 14 months in ARB No 584287/2016 Union of India Vs M/s Reva Industries Ltd Page No 2/32 submitting the GA drawings. The respondent was required to submit the GA drawings upto 28.04.2010. The crane was supplied on 28.04.2013. As such the period of delay in submitting the drawing will be counted for the purpose of levy of L D charges @ 1/4% of the value of the contract for each week of delay subject to a ceiling of the value of the contract. Accordingly, the petitioner is within its rights to deduct 2% LD of the total value of the contract as per addtional special condition of Bid Document for EOT cranes for reference of tenderers as per bid document Part II. (c) As per the petitioner clause 3200 of General Condition of Contract bid documents in partI provided as follows :" 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 liquidated damages and made payment as per provision of clause