My Lord, Interest?
“The High Court has held that no interest is payable. Arbitrators are creatures of agreements. G.C. Roy, (1992) 1 SCC 508 exhaustively dealt with power of the Arbitral Tribunals to grant pre-reference and pendente lite interest. Of course, 1940 Act was in vogue at that time. In Reliance Cellulose Products Ltd., (2018) 9 SCC 26 entire case law on the subject is revisited and legal position is re-emphasized. Keeping in mind the present case is regulated by 1996 Act, we have to decide the issue at hand. The High Court rightly noted that Port of Calcutta, (1996) 1 SCC 516 was under the 1940 Act and the legal position has had a paradigm shift inSayeed Ahmed, (2009) 12 SCC 26. Sayeed Ahmed distinguishing the restrictive wording in Harish Chandra, (1999) 1 SCC 63 has been consistently followed by this Court in number of cases thereafter.”
– Hon’ble Justice A.K. Sikri, Jaiprakash Associates Ltd. v. Tehri Hydro Development Corporation India Ltd., [Civil Appeal No. 1539 of 2019].