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Supreme Court of India 2017-04-11 allowed

Kamrup Industrial Gases Ltd vs Union of India

Bench: 3 — Jagdish Singh Khehar

In Brief

Kamrup Industrial Gases Ltd supplied gases to Diesel Locomotive Works under a 1965 contract guaranteeing minimum monthly lifts, with payment due even if minimums were unmet. When DLW failed to lift agreed quantities, Kamrup sought arbitration for payment. The Arbitrator awarded Kamrup Rs 8,72,235 plus interest. The High Court reversed, finding Kamrup had not produced required documents. The Supreme Court allowed the appeal, holding that the arbitral proceedings clearly recorded that all documents were formally filed and served on DLW's counsel. The Court affirmed the Arbitrator's award, finding proper intimation was given before gases were blown off and bills were served. Post-decretal interest at 9% was awarded from the decree date.

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