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2014 (10) TMI 405 - SUPREME COURTDismissal of application u/s 34 of the Arbitration and Conciliation Act - Learned Arbitrator held that the clause relating to payment of taxes was deleted by the appellant’s representative Mr. Ahlawat on 19.1.2007 and since work order was acknowledged, it is binding on the appellan - issue of deviation in price bid on 19.1.2007 - appellant, also challenged the arbitral award on the ground that the same is in conflict with the public policy of Indi - Held that:- Appellant has accepted the liability of payment of excise duty, sales tax, service tax and other taxes and hence it cannot be held that the clause 4.9.1 of the Work Order is inconsistent with the terms and conditions of contract documents. Court, in the case of Oil and Natural Gas Corporation Ltd. (supra), observed that the term ‘public policy of India’ is required to be interpreted in the context of jurisdiction of the Court where the validity of award is challenged before it becomes final and executable. The Court held that an award can be set aside if it is contrary to fundamental policy of Indian law or the interest of India, or if there is patent illegality. In our view, the said decision will not in any way come into rescue of the appellant. As noticed above, the parties have entered into concluded contract, agreeing terms and conditions of the said contract, which was finally acted upon. In such a case, the parties to the said contract cannot back out and challenge the award on the ground that the same is against the public policy. Even assuming the ground available to the appellant, the award cannot be set aside as because it is not contrary to fundamental policy of Indian law or against the interest of India or on the ground of patent illegality. High Court has rightly came to the conclusion that no ground exists for setting aside the award as contemplated under Section 34 of the Act. - Decided against appellant.
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