GOODWILL ENGINEERING WORKS Vs. UNION OF INDIA

JUDGEMENT

(1.) The instant appeal has been filed challenging the judgment and decree dated 16.07.2009 passed by the learned II Additional District Judge, Puducherry in O.S.No.42 of 2006.

(2.) Heard Mr.S.Doraisamy, learned counsel for the Appellant and Ms.N.Mala, learned Additional Government Pleader (Puducherry).

(3.) The Appellant is the defendant in the suit O.S.No.42 of 2006 filed by the respondents/plaintiffs seeking for recovery of a sum of Rs.81,62,665.41/- together with interest and costs which was decreed as prayed for on 16.07.2009. The suit claim was laid on the basis that the respondents/plaintiffs awarded a contract dated 15.02.1999 to the Appellant/defendant to build a Patrol Vessel for the benefit of respondents/plaintiffs at a cost of Rs.51,73,000/-. As per the contract, the Appellant/defendant will have to build a patrol vessel for the respondents/plaintiffs as per the specifications contained in the contract and deliver the said patrol vessel to the respondents/plaintiffs within a period of nine months from the date of signing of the contract. As per the agreed specifications, the patrol vessel to be built by the Appellant/defendant will have to run at a speed of 20 knots. The respondents/plaintiffs were also making part payments in stages as per the contract to the appellant/defendant and in all put together a sum of Rs.43,45,698/- was paid by the respondents/plaintiffs to the Appellant / defendant out of the total contract value of Rs.51,73,000/-. Apart from the contract value of Rs.51,73,000/- an additional cost of Rs.1,02,298/- was also sanctioned by the respondents/plaintiffs towards technical committee fees and expenses for the purpose of checking the construction and other technical specifications of the vessel. Thus the total cost of the vessel was Rs.52,75,000/-.