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2023 Supreme(Chh) 719

IN THE HIGH COURT OF CHHATTISGARH AT BILASPUR
P. SAM KOSHY, J.
Sanjay Mishra - Petitioner
Versus
Municipal Corporation and Ors. – Respondents
WPC No. 1599 of 2023
Decided On : 18-04-2023

Advocates Appeared:
For the Petitioner: Mr. Kshitij Sharma, Adv.
For the Respondents: Mr. Anmol Sharma, Adv., Mr. Aditya Bhardwaj, P.L.

Headnote:(A) Article 226 of the Constitution of India - Writ jurisdiction for monetary claim - Writ petition against state for dues from contract executed is maintainable, even in absence of disputed facts or disputed amounts (Paras 11-12).

(B) Writ relief must be granted when amount is undisputed or may be delayed due to administrative reasons (Paras 14-16).

Facts of the case:
Petitioner, proprietor of Boumonde Technology, executed a tendered contract with Municipal Corporation for setting up a bio gas plant, completed satisfactorily but faced non-payment of dues totaling Rs. 21,52,860/- (Para 2, 3).

Findings of Court:
Court directs immediate processing and release of admitted dues within 90 days; if not paid, interest at 12% per annum from due date (Paras 15-16).

Issues: Whether a writ petition can be maintained for an undisputed monetary claim against a state agency.

Ratio Decidendi: When no disputed questions of fact exist and the claim is of an admitted amount, the High Court has the authority to direct the release of payment under Article 226 (Paras 11-12).

Result: Writ petition allowed; respondents ordered to pay within 90 days.

Table of Content
1. facts leading to the writ petition (Para 2 , 3)
2. respondents' arguments regarding payment delays (Para 4 , 5 , 6 , 7 , 8 , 9)
3. judicial observations on legal standing (Para 10 , 14)
4. ratio decidendi on non-disputed claims (Para 11 , 12)
5. final order on releasing payment (Para 13 , 15 , 16 , 17)

ORDER :

(Shri. P. Sam Koshy, J.)

The present Writ Petition has been filed seeking for following relief(s):-

    "10.1 The Hon'ble Court may kindly be pleased to call for the records pertaining to the subject works for the kind perusal of this Hon'ble Court; and/or

    10.2 The Hon'ble Court may further kindly be pleased to issue such writ orders directions the respondent to make due payment of Rs. 21, 52, 860/- to the petitioner within stipulated period, along with interest as this Hon'ble Court may deem fit, in the obtaining factual matrix.

    10.3 Cost of the petitioner may also be granted to the petitioner

    10.4. Any other relief, which this Hon'ble Court deems fit and proper, may also kindly be granted to the petitioner, in the interest of justice."

2. Brief facts which led to filing of the present Writ Petition are the petitioner who is basically a proprietor of proprietorship firm in the name of Boumonde Technology. The respondent No. 1-the Municipal Corporation Bhilai floated a tender to provide bio gas plant in concept of zero garbage disposal system inclusive of Drawings, Designs, Foundation Installation, Testing, Running & Maintenance for two years along with connection of bio-produce to the users with all fixtures.

3. The petitioner finding himself to be eligible for the said tender, participated and submitted his bid and later emerged as the successful bidder. A formal agreement was entered into between the respondent No. 1 and the petitioner for execution of the work for a sum of Rs. 23, 20, 000/-. The work order subsequently was issued on 26.12.2016. The petitioner commenced the work and executed the same with full diligence. The respondents issued a completion certificate also in favour of the petitioner on 19.12.2019. However, even having satisfactorily completed the work, the respondent No. 1 did not show any response for clearance of the admitted dues accrued to the petitioner and payable by the respondent No. 1. The petitioner had been repeatedly praying for release of the undisputed amount without any favourable response from the respondents. In-spite of repeated correspondences and the representations when the petitioner was unsuccessful in getting the fruits due to him for the work carried out by him, he was compelled to file the present Writ Petition.

4. The Learned counsel for respondents appeared and sought time to seek instruction when the matter was taken up for hearing.

5. Learned Counsel for Respondent No. 1 did not raise any objection so far as the nature of work executed by the petitioner, neither was there any dispute in-respect-of the quality or quantity of work executed by the petitioner. Moreover, the respondents did not even dispute issuance of completion certificate. So far as the respondent No. 1 is concerned upon seeking instruction from the respondent/State that the only hurdle for which the petitioner's dues could not be released, was the paucity of fund with the respondent No. 1 and the funds have to be received from the respondent No. 2.

6. Learned Counsel for Respondent No. 1 further stated that whether they are committed towards the petitioner so far as his claim is concerned and the moment the funds are received from the State Government, the payment shall be forthwith released.

7. It was also the contention of Counsel for Respondents that at no point of time, do the respondents have any intention or an ill will towards the petitioner for not releasing the amount due.

8. Lastly, it was contended that the respondents have already taken steps by making repeated request to the State Government for release of sufficient funds with which the petitioner's claim can be settled and it was contended th

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