B. K. MEHTA, S. H. SHETH, J.

( 1 ) THIS appeal by the State Government is directed against the judgment and decree of the Civil Judge (S. D.) Baroda in Special Civil Suit No. 72 of 1968 ordering the State Government to pay a sum of Rs. 78 747 paise with costs on the entire suit amount and with running interest at six per cent on the principal amount of Rs. 59 0 21 paise from the date of the suit till realisation and granting a permanent injunction restraining the State Government or its officers servants or agents from recovering or adjusting the amount of Rs. 25 0 claimed by the State Government as an excess payment to the deceased-contractor Shri P. P. Wadia. A few facts need be stated so as to appreciate the dispute involved in this appeal.

( 2 ) THE Executive Engineers Public Health in Public Works Department of the State of Gujarat had invited tenders for Dabhoi Water Supply Scheme. The tender filed by the deceased-contractor bearing No. B-24 of 1958 was accepted by the State Government as it was lowest. The estimated cost of the works in question was Rs. 3 7 440 the quotation of the aforesaid Contractor for execution of the said works was Rs. 2 82 557 The contract works consis

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