Case Note & Summary
The case involved an appeal by the State of Madhya Pradesh against M/s M.R. Construction Engineers & Contractors concerning the payment of interest as directed by the High Court. The Supreme Court was approached to determine whether the appellant was liable to pay interest at the rate of 18%. The court noted that it had previously issued a notice regarding the condonation of delay and the interest rate issue. After hearing the arguments from both sides, the court decided to modify the interest rate from 18% to 9%, as awarded by the arbitrator, without addressing the limitation question raised by the appellant's counsel. The appeal was disposed of with this modification, and no order as to costs was made.
Headnote
A) Arbitration - Interest Rate - Modification of Interest Rate - Not applicable - The court modified the interest rate from 18% to 9% as awarded by the arbitrator, without addressing the question of limitation raised by the appellant's counsel. The court found it appropriate to adjust the interest rate while disposing of the appeal. Held that the interest rate was modified to 9% (Paras Not mentioned).
Issue of Consideration
Whether the appellant was liable to pay interest at the rate of 18% as directed by the High Court.
Final Decision
The Supreme Court modified the interest rate from 18% to 9% as awarded by the arbitrator, disposing of the appeal without addressing the limitation issue raised by the appellant.
Law Points
- Interest rate modification
- Arbitration
- Condonation of delay
