SUDHIR BROTHERS vs D.D.A.

The Supreme Court addressed the jurisdiction of an arbitrator to award pre-reference interest under The Interest Act, 1978. It held that while the arbitrator has the authority to award interest during the pendency of the reference, he lacks jurisdiction to award interest for the period before entering the reference. The Court found that the interpretation by the Division Bench of the Delhi High Court regarding the arbitrator's jurisdiction was incorrect, thereby allowing the appeal and setting aside the restriction on pre-reference interest.