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HIGH COURT OF JAMMU & KASHMIR AND LADAKH AT SRINAGAR
WASIM SADIQ NARGAL, J.
Bhat Traders Through Ghulam Mohammad Bhat - Petitioner
Versus
Union Territory of Jammu And Kashmir Through Commissioner Secretary To Govt. Tourism Department Civil Secretariat Srinagar - Respondent
WP(C) No. 3445 of 2023, CM No. 8339 of 2023
Decided On : 16-04-2026
| Table of Content |
|---|
| 1. petitioner executed works; payments withheld despite bills. (Para 1 , 2 , 3 , 4 , 5 , 6) |
| 2. acknowledged dues withholding violates article 14. (Para 7 , 8 , 9 , 10 , 11 , 12 , 13 , 14 , 15 , 16) |
| 3. job orders without formalities not payable. (Para 17 , 18 , 19 , 20 , 21 , 22 , 23 , 24 , 25 , 26 , 27 , 28) |
| 4. arbitrary state contract action writ-maintainable. (Para 29 , 30 , 31 , 32 , 33) |
| 5. admitted dues enforceable despite factual disputes. (Para 34 , 35 , 36 , 37 , 38) |
| 6. state liable for benefited works despite irregularities. (Para 39 , 40 , 41 , 42 , 43 , 44 , 45 , 46 , 47) |
| 7. article 14 mandates payment of admitted dues. (Para 48 , 49 , 50 , 51 , 52 , 53 , 54 , 55 , 56 , 57 , 58 , 59 , 60 , 61 , 62) |
| 8. direct release of rs.52.24 lakhs with interest. (Para 63 , 64 , 65 , 66 , 67 , 68 , 69) |
JUDGMENT :
WASIM SADIQ NARGAL, J.
Brief Facts
1. The petitioner has invoked the writ jurisdiction of this Court under Article 226 of the Constitution of India, seeking release of an amount of Rs. 64,99,000/-, which, according to him, has been withheld by the respondents despite being admitted.
2. The case of the petitioner, is that he is a contractor who was allotted various works by the respondent Corporation. The petitioner asserts that he has duly executed all the works entrusted to him and submitted work-done statements along with the requisite bill sheets.
3. It is pleaded that the competent authority of respondent department, including the Executive Engineer and Assistant Executive Engineer, issued communications from time to time recommending release of payments, thereby acknowledging the liability of the respondents.
4. According to the petitioner, although part payments were released in certain cases, a substantial amount remains unpaid without any lawful justification.
5. It is further averred that the petitioner repeatedly approached the respondents for release of the withheld amount; however, the same was deferred on one pretext or the other, including paucity of funds.
6. Aggrieved thereof, the petitioner served a legal notice dated 06.11.2023 upon the respondents, but the same failed to evoke any response, constraining the petitioner to approach this Court.
SUBMISSIONS ON BEHALF OF THE PETITIONERS
7. Learned counsel for the petitioner Mr. Mian Tufail submits that the petitioner has completed all the works in accordance with the terms and conditions governing the allotments and has submitted all requisite bills and supporting documents.
8. It is contended that upon completion of the works, the competent officials of the respondent department, including the Executive Engineer JKTDC and Assistant Executive Engineer JKTDC , addressed various communications to the Accounts Officer recommending release of payments in favour of the petitioner, thereby clearly acknowledging the liability of the respondents
9. It is further submitted that, despite such acknowledgment, the respondents released only part payments in certain works, while substantial amounts in respect of several works have been withheld without any lawful justification. The total amount so withheld, according to the petitioner, aggregates to Rs. 64,99,000/-.
10.Learned counsel contends that the petitioner has repeatedly approached the respondents for release of the admitted dues; however, on each occasion, the matter was deferred on the pretext of paucity of funds.
11.It is also submitted that the petitioner, being aggrieved of the continued inaction on the part of the respondents, served a legal notice dated 06.11.2023 upon the respondents, calling upon them to release the withheld amount, but the same evoked no response.
12.Learned counsel further submits that despite such acknowledgment, the respondents have arbitrarily withheld the admitted dues, which is violative of Article 14 of the Constitution of India.
13.It is further submitted that once, the work has been executed and the liability stands admitted, the respondents are under a legal obligation to release the pay
State cannot withhold admitted dues for executed works from which it benefited, citing procedural lapses or paucity of funds; such arbitrary action violates Article 14, attracting writ jurisdiction u....
State and instrumentalities jointly liable for admitted dues on executed and accepted public works; cannot withhold payments citing no privity, paucity of funds or delays, violating Article 14; must ....
State cannot withhold admitted dues for executed and accepted public works citing paucity of funds or lack of privity among instrumentalities; violates Article 14, warrants interest on delay.
State and instrumentalities cannot withhold admitted dues for executed and accepted works on paucity of funds or privity pleas; violates Article 14; writ maintainable; interest payable for arbitrary ....
Contractual payments must not be unduly delayed by the state without valid justification.
State cannot arbitrarily withhold admitted balance payment under supply contract after accepting goods; violates Article 14, constitutes unjust enrichment; mandamus maintainable for enforcement as pu....
A State entity must act in accordance with principles of fairness and justice in contractual obligations, and cannot withhold payments without a clear determination of dues, as this constitutes arbit....
Writ petitions are maintainable for contractual claims against state entities, and withholding payments due to contractors on arbitrary grounds violates constitutional obligations to act fairly.
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