M/s.Sivashankar and Co., Rep.by its Proprietor D.Sivashankar, Vs The Divisionala Railway Manager

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Arb.OP(Com.Div).No.630 of 2022

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IN THE HIGH COURT OF JUDICATURE AT MADRAS

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RESERVED ON : 10.02.2026

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PRONOUNCED ON : 13.02.2026

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CORAM

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THE HONOURABLE MR.JUSTICE N.ANAND VENKATESH

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Arb.OP(Com.Div).No.630 of 2022

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M/s. Sivashankar & Co Rep.by its Proprietor D.Sivashankar Having Office at 303, EBONY Apartment 110/2, River View Link Road IAS/IPS Colony, Manapakkam Chennai-600125.

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..Petitioner

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Vs.

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The Divisional Railway Manager Chennai Division ,Southern Railway Chennai. ..Respondent

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Prayer: Arbitration Original Petition filed under Section 34(2) of the Arbitration and Conciliation Act, 1996, to set aside the award of the Arbitral Tribunal dated 27.3.2022 and received on 17.05.2022 and to direct the respondents to pay the costs.

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For Petitioner : Mr.J.Srinivasa Mohan for M/s.TVJ Associates

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For Respondents : Mr.K.S.Jayaganesan Senior Counsel

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1/22

Claim	Gist of claim	Amount of Claim (in Rs.)	Award given by presiding Arbitrator (in Rs.)	Award given by other two Arbitrators (in Rs.)
(1)	To declare termination of contract not valid	Declaratory	Claimant as well as respondent are responsible for termination.	Termination letter with retrospective effect is legally valid and justified.
(2)	Release of Performance guarantee amount	16,62,557/-	Half of each totalling 16,44,991/- in favour of the	Nil
(3)	Refund of EMD	2,82,400/-		Nil
(4)	Refund of security deposit	13,45,026/-	Claimant	Nil
(5)	Payment of price variation as per agreement	17,63,411/- increased to 26,20,140/-	25,94,300/- in favour of the claimant	25,94,300/-
(6)	Reimburse eligible GST neutralization	14,26,327/- increased to* 15,22,402/-	15,22,402/- in favour of the claimant	Rs.15,22,402/- in favour of the claimant
(7)	Payment of stock at site	4,50,000/-	Nil	Nil

Claim	Gist of claim	Amount of claimant (in Rs.)	Award given by presiding Arbitrator (In Rs.)	Award given by other two Arbitrators (in Rs.)
(8)	Payment for idling of men and machinery	1,40,000/-	Nil	Nil
(9)	Payment towards overhead and establishment charges	6,76,000/-	Nil	Nil
(10)	Payment for fabricated steel structure	2,96,000/-	Nil	Nil
(11)	Loss ofprofit	28,95,446/-	Nil	Nil
(12)	Reimbursement of interest paid to Bank	15,06,047/-	Nil	Nil
(13)	Compensation for damage of reputation etc,	20,00,000/-	Nil	Nil
(14)	Payment of interest charges at 12%	TO BE DECIDED	Nil	Nil
(15)	Legal expenses and cost of Arbitration	9,00,000/-	Nil	Nil
(16)	TOTAL OF ALL CLAIMS	1,53,43,214/- (INCREASED TO 1,62,96,018/-) + to be decided	57,61,693/- in favour of the claimant	41,16,702/- in favour of the claimant

C/ Claim	Gist of Counter Claim	Amount of claim (in Rs.)	Award given by presiding Arbitrator (In Rs.)	Award given by other two Arbitrators (in Rs.)
(1)	Forfeiture of Performance guarantee	16,62,557/-	Same as award against claims nos.2,	16,62,557/- in favour of respondent
(2)	Forfeiture of EMD and SD	16,62,557/-	3 & 4 Rs.16,44,991/- in favour of respondent	16,62,557/- in favour of respondent
(3)	Cost of supervision	58,56,339/-	Nil	Nil
(4)	Difference in cost due to escalation	1,66,11,249/-	Nil	Nil
(5)	Cost of Arbitration	To be quantified	Nil	Nil
(6)	Total	2,44,68,417/- (actual total comes to 2,57,92,702/-) plus amount to be quantified	Rs.16,44,991/- in favour of respondent	Rs.33,25,114/- in favour of respondent

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