PRIMETALS TECHNOLOGIES INDIA PRIVATE LIMITED vs STEEL AUTHORITY OF INDIA LIMITED & ORS.

Judgment text excerpt

* IN THE HIGH COURT OF DELHI AT NEW DELHI % Judgment reserved on: 12.02.2026 Judgment pronounced on: 23.02.2026 + O.M.P. (COMM) 297/2024 PRIMETALS TECHNOLOGIES INDIA PRIVATE LIMITED Through: Mr. Rajesh Markanda, Mr. Keshri Kumar & Mr. Saurav Markanda, Advs. versus STEEL AUTHORITY OF INDIA LIMITED & ORS. .....Respondents Through: Mr. Siddharth Yadav, Sr. Adv with Mr. Ashish Tiwari, Mr. Anurag Tiwari and Mr. Sahib Patel, Advs. CORAM: HON'BLE MR. JUSTICE AVNEESH JHINGAN JUDGMENT 1. This petition is filed under Section 34 of the Arbitration and Conciliation Act, 1996 (for short „the Act‟) challenging the arbitral award dated 24.05.2024. FACTS 2. A conspectus of the facts necessary for disposal of the case is that the parties to the lis executed a contract on 12.10.2007 (for brevity „the contract‟) for installation of the „Power Supply Facility (package-II) for 700 TPD ASU-4 in Oxygen Plant no. II‟ at Bhilai Steel Plant (for short „BSP‟). The work was to be completed by the petitioner within fifteen months and was for a price of Signature Not Verified Signed By:HONEY ARORA O.M.P.(COMM) 297/2024 Page 1 of 13 Signing Date:23.02.2026 15:33:38 Rs.18,45,54,310/-. The contract was executed, the commission certificate and the final acceptance certificate were issued on 20.06.2012 and 12.12.2013 respectively. The petitioner submitted final invoices on 12.02.2019 and Rs.1,07,61,378/- was deducted for shortfall in minimum guaranteed CENVAT credit (for short „MGCC‟). Upon failure of conciliation attempts, arbitration proceedings under clause 6 of the General Conditions of the Contract (for short „GCC‟) were invoked on 07.02.2022. 3. The only dispute involved in the present petition is vis-a-vis claim nos.3 and 4 framed by the arbitrator, which read as under: “3. Whether the Claimant is