Facts/Background:

• On 16th November 1988, the Appellant-claimant, a construction company, entered into a contract with the Respondent-Union of India for constructing a runway at Naval Air Station, Arakonam, valued at ₹19,58,94,190, with a 21-month completion period.
• The contract requiring completion by 23rd August 1990, faced delays as the Appellant claimed work began on 1st January 1989 due to waterlogging. The Respondent granted three extensions, with the final deadline set for 31st March 1992.
• By mid-March 1992, 72% of the work had been completed. However, the Appellant could not finish the work due to restricted access and the absence of necessary passes for workers, leading to the Respondent's termination of the contract on 2nd April 1992.
• The Appellant invoked arbitration, and the Sole Arbitrator, on 24th June 1999, awarded ₹25,96,87,442.89 to the Appellant with interest, and ₹1,42,255 to the Respondent for counter claims.
• The Respondent filed a petition under Section 30 and Section 33 of the Arbitration Act, 1940 before the Learned Single Judge of the Madras High Court which was dismissed on 19th January, 2009, confirming the award and entitlement to interest at 12% per annum from the date of decree.
• In appeal before the Division Bench of the Madras High Court, the court set aside the award of idle hire charges, tool and machinery value, and findings on contract termination and extension of time, while confirming the learned Single Judge's order on other issues.
• The Appellant has filed the present appeal.
  

Main Issue:

1. Whether the extension of time and the validity of the termination of the contract by the Respondent-Union of India were reasonable?
2. Whether the claim granted in favour of the Appellant-claimant for idle hire charges and the value of tools and machinery, along with interest, was justified? (Paragraph 5)