OSCAR Vs. BARBIL MUNICIPALITY

JUDGEMENT

(1.) Plaintiff is the appellant against dismissal of the suit for realisation of - (i) balance consideration towards supply of mild steel grills and gates to the defendants; (ii) interest at 18% from the date of notice under S.349 of the Orissa Municipal Act, 1950 (hereinafter referred to as `the Act'); (iii) costs of notice and (iv) pendente lite and future interest.

(2.) Quotations were invited by Executive Officer of defendant-Municipality for supply of mild steel grills and gates on the basis of which plaintiff and two other suppliers gave quotations of rates. Those rates not being accepted, plaintiff was called for negotiation and on that basis rate was fixed at Rs. 18.50 paise per kilogram of mild steel grills and gates to be supplied. Plaintiff supplied the articles which were received by the Sub-Assistant Engineer of the Municipality and an amount of Rs. 20,000/- was paid in part towards consideration amount by the defendant-Municipality. Balance amount of Rs. 22,069/- not having been paid, suit was filed.

(3.) While not disputing the facts, defendant contested the suit on the ground that plaintiff played fraud with the Municipality in accepting letters of two of the three suppliers and same person wrote the three quotations. When the same was detected Municipal Council resolved to refer the matter to Vigilance Deparment and investigation in that regard is pending. It challenged the suit on the ground that notice under S.80, C.P.C. has not been served, and Executive Officer has no power to represent the Municipality in the suit. It also contested the suit to be not maintainable since all the members of the Municipal Council have not been made parties.