S. No. 2 HIGH COURT OF JAMMU & KASHMIR AND LADAKH AT JAMMU CJ Court Case No: Arb P No. 38/2026 M/s Pushpak Industries th. Raman Dhir. …Petitioner(s)/Appellant(s) Through: Mr. Sumit Moza, Advocate v/s Union of India and Ors. …. Respondent(s) Through: Mr. Vishal Sharma, DSGI with Mr. Karan Sharma, CGSC. CORAM: HON’BLE THE CHIEF JUSTICE ORDER 08.05.2026 (ORAL) 01. The present petition has been filed by the petitioner under Section 11(6) of the Arbitration and Conciliation Act, 1996, (for short ‘the Act’) seeking appointment of an independent Arbitrator. 02. The concise facts of the facts are: The petitioner, being the successful bidder, vide HQCEUZ letter no. 87886-AY/23/E8 dated 11.04.2022, was allotted the contract,for an amount of ₹80,79,200.00, bearing No. CEUZ/DHR/02/2022-23 for Provn of Steel Furniture for construction of KLP for AD REGT and its affiliated WKSP(PH- I of II) at Dhar road Udhampur. And, the work order issued vide No. 8068/CEUZ/UDH-02/08/E8 dated 16.06.2022, reflected the requisite norms as: ‘Period of completion 12 months Date of handing over of site 20 Jun 2022 Date of commencement of work 20 Jun 2022 Date of completion of work 19 Jun 2023’ -2- The petitioner had failed to meet the designated deadline owing to some unavoidable impediments. And, after obtaining extensions initially for a period of 57 days and thereafter for 26 days, the petitioner completed the contract on 16.11.2023. The acknowledgement of the completion of work done was received vide No. 8068/CEUZ/UDH-02/99/E8 dated 22.11.2023. In the meantime, the respondents made the payments of certain amounts to the petitioner in five running account receipts (RAR). However, an amount of ₹8,07,920.00, on account of delay in completion of the work as also ₹ 1,50,980.00, for unknown reasons, was withheld by the respondents. Notwithstanding the correspondencesdated 18.06.2025 and 07.06.2025, the respondents remained recalcitrant in addressing the petitioner’s grievances of making the withheld payment. And, the petitioner finally, vide communications dated 23.12.205 and 24.12.2025,while invoking the arbitration clause contained in Chapter 4 Clause 37 of IAFW, issued notice to the respondents seeking appointment of an independent arbitrator for redressal of the dispute that had arisen between the parties.It is further averred that notwithstanding the consistent efforts to settle the dispute arisen between the parties, the withheld dues remained unpaid. Hence, on account of nonfeasance from the respondent, the present petition. 01. Heard. Notice. 03. Served with advance copy of the petition, Mr. Karan Sharma, learned Central Government Standing Counsel, present in Court, accepts notice. 07. Learned counsel for the respondent vehemently disputes/denies the claim that is sought to be made by the petitioner being apparently misconceived and untenable. However, the existence of the arbitration clause, as aforesaid, and its invocation by the petitioner vide notice dated 23.12.2025 and 24.12.2025, is not disputed. Accordingly,it submitted that let an Arbitrator be appointed but the respondents be granted liberty to raise all possible pleas/ objections before the arbitrator in this regard. 08. Accordingly, in the wake of the position sketched out above and in terms of the statements made by the learned counsel for the parties, as also the clause contained in the agreement itself, the petition is allowed. -3- 09. With consent of learned counsel for the parties,as also the clause contained in the agreement itselfSh. M K Hanjura (Former High Court Judge, High Court of Jammu & Kashmir and Ladakh Mobile No. 9419180925)is appointed as the sole arbitrator. Who shall proceed with the matter in accordance with the provisions of the Act. And to make an award within the time provided in the Act itself after charging the prescribed fee along with incidental expenses to be shared by the parties. The respondents are at liberty to raise all the objections as regards the subject matter before the learned Arbitrator. 10. Registry to send a copy of this order to the learned arbitrator. (ARUN PALLI) CHIEF JUSTICE Jammu: 08.05.2026 Sunita. SUNITA KOUL 2026.05.12 13:20 I attest to the accuracy and integrity of this document