CHIEF ENGINEER KNNL Vs. RATHOD AND NAIK CO

JUDGEMENT

(1.) This appeal is by M/s Karnataka Neeravari Nigam Limited and its officers [the defendants and are referred to as 'M/s KNNL'] in OS No.49 of 2012 on the file of the I Additional Senior Civil Judge, Belagavi [for short, 'the civil Court'], and M/s KNNL is aggrieved by the civil Court's judgment and decree dtd. 12/12/2017. The civil Court has decreed the respondent's suit in OS No.49 of 2012 for recovery of money holding M/s KNNL and its officers are jointly and severally liable to pay to the respondent [a partnership firm] Rs.6,05,02,830.00 along with interest at 6% per annum from date of the suit till the date of realization. The civil Court has directed M/s KNNL to pay this amount of Rs.6,05,02,830.00 under the following heads: <IMG>JUDGEMENT_71_LAWS(KAR)5_2025_1.jpg</IMG>

(2.) This Court, on 15/11/2018, has considered M/s KNNL's request for stay of the operation of the civil court's impugned judgment and decree with the respondent beginning execution proceedings in EP No.97/of 2018. This Court has stayed further execution proceedings subject to M/s KNNL paying the respondent a sum of Rs.75,00,000.00. In this appeal, M/s KNNL has admitted the liability to this extent. It is brought on record that M/s KNNL, in compliance with this condition, has indeed paid the respondents Rs.75,00,000.00. The undisputed facts and circumstances:

(3.) M/s KNNL, under a time bound Central Government Program called the Central Assistance of Accelerating Irrigation Benefit Program [CAAIBP], has envisaged project for modernizing Ghataprabha Left Bank [GLB] Main Canal over a stretch of 30 Km between the 71st and 105th Kms of this Main Canal dividing this into six packages of 5 Kms each. M/s KNNL has issued separate tenders for these six packages, and the respondent has successfully participated in the tender issued for the fifth package [V Package] comprising 5 Kms stretch between the 93rd and 98th Kms of this Main Canal. A set of certain other contractors are successful in offering their respective bids for the other five packages.