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Judgment
Sathish Ninan, J.
The suit for money, was decreed by the trial court. The defendants are in appeal.
The suit claim under two supplemental agreements (Nos.9 and 10) executed between the plaintiff and the defendant in connection with the construction of canal for the Kallada Irrigation Project. As per GO (RT) 800/11/WRD dated 08.08.2011, the claims under the aforesaid agreements were allowed. Since there was delay in payment, the plaintiff approached this Court. Thereafter, sanction was accorded for payment of total amount of ₹ 25,51,881.14. However, various amounts were deducted therefrom towards alleged statutory fares. The suit has been instituted claiming the said amount and also interest on the total amount, at 12%, for the period from 1991-2012 viz. the period of delay.
The trial court decreed the suit. Interest was granted at 6%. Challenging the same, the defendants are in appeal.
We have heard learned counsel on either side.
It appears that since a vigilance case was pending, the final bill was not prepared. On 23.03.2018 the vigilance case ended in acquittal. Even then the final bill was not passed and payment effected. Thereupon, the plaintiff approached this Court in WP(C) No.7055/2020. The writ petition was disposed of granting 5 months for effecting payment. Thereafter, the Executive Engineer passed a final bill for a minus amount of ₹ 21,73,638/-, requiring the plaintiff to refund the same. However, a copy of the final bill was not supplied to the plaintiff. The plaintiff finally obtained the same through RTI. The petitioner realised that GO (RT) 800/2011/WRD based on which the payment was made to the plaintiff, was cancelled as per GO(RT) 31/2019/WRD dated 11.01.2019. Such cancellation was without notice to the plaintiff and without hearing him. Challenging the same the plaintiff filed WP(C) No.34678/2023 which is pending.
In the meanwhile, the plaintiff has initiated arbitration proceedings against the defendants raising the entire claims. The arbitration commenced pursuant to directions of this Court in AR 12/2025. Before the Arbitrator, the proceedings have been numbered as Arbitration Case No.1/2026.
Through IA 3/2026, the plaintiff-petitioner prays that all the issues may be left open to be considered by the Arbitrator, in the arbitration proceedings.
The defendants-appellants submits that they have no objection in such a course being adopted.
In the light of the above, the decree and judgment of the trial court are set aside. The rights of the parties to urge their respective claims and contentions in Arbitration Case No.1/2026 pending between the parties, is left open. The appeal is disposed of as above.
