LAWS(KAR)-2009-9-29

MANJUSHRI CONSTRUCTION COMPANY Vs. STATE OF KARNATAKA

Decided On September 17, 2009
MANJUSHRI CONSTRUCTION COMPANY, REP. BY ITS MANAGING PARTNER Appellant
V/S
STATE OF KARNATAKA Respondents

JUDGEMENT

(1.) The petitioner in these petitions is a registered civil contractor carrying on civil works of the Government Department and Local Bodies. It is contended that for the purpose of execution of civil works, the petitioner are required to purchase building materials from the private sources. It is further contended that the petitioner does not own any quarries and that they are not liable to pay any royalty to the respondents. However, the respondents are deducting royalty from the bills of the petitioner without authority of law. Hence, these petitions praying not to deduct the royalty from the bills of the petitioner in respect of the materials procured by him from private sources for execution of the civil contract works.

(2.) In similar matters, this Court in G.V. KUMAR AND OTHERS vs. STATE OF KARNATAKA AND OTHERS(Writ Petitions No. 31264-31266 of 1994 disposed of on 31st October, 1994) has laid down the principles relating to the payment of royalty by the contractors. The same are extracted hereunder:

(3.) The said decision has been upheld by the Division Bench of this Court in the case of OFFICE OF THE DIRECTOR OF DEPARTMENT OF MINES AND GEOLOGY vs. M. MOHAMMED HAJEE(Writ Appeal No. 830 of 2006 disposed of on 25th September, 2006).