M/S MSK PROJECTS (I)(JV) LTD. vs STATE OF RAJASTHAN

The Supreme Court upheld the arbitral award in favor of MSK-appellant, stating that the State of Rajasthan failed to issue a timely notification prohibiting vehicle entry into Bharatpur, which affected toll collection. The Court emphasized that under Section 34 of the Arbitration and Conciliation Act, 1996, the High Court erred in setting aside the award, as the arbitrators had jurisdiction to decide on the delay and toll collection issues. The judgment reinforced the principle that arbitral awards should be respected unless there are substantial grounds for interference, leading to the dismissal of the State's appeal.