STATE OF KERALA vs M/S.ARYA REGRIGN & AIR CONDNG COMPANY

The Supreme Court upheld the decision of the Kerala High Court regarding the deposit of Rs.5,75,500/- as directed by the Sub Court under Section 115 of the Code of Civil Procedure, 1908. The Court clarified that the arbitration proceedings were valid under Section 9 of the Arbitration Act, 1940, and emphasized the importance of adhering to arbitration awards. The appeal by the State of Kerala was dismissed, affirming the claimant's entitlement to the awarded amount, subject to the condition of returning it with interest if the appeal was allowed.