GH VIJAPURA Vs. STATE OF ASSAM

JUDGEMENT

(1.) Heard Mr. N. Dutta, the learned Senior Counsel appearing in the WP(C) No.1832/2009 and WP(C) NO.4482/2008. The other petitioners are represented by Mr. J. Roy, the learned Counsel. The learned Government Advocate Mr. J. Handique appears for the State respondents. The Airport Authority of India (AAI) is represented by advocate Mr. R. Dubey. The respondent Railways are represented by Ms. B. Devi, the learned Standing Counsel.

(2.) The issue that requires Court's consideration is whether royalty can be demanded from the contractors for ordinary earth utilized in levelling the low lying areas, in execution of the contracts under the AAI, N.F. Railways and the National Highway authorities. The earth was extracted by the contractors from private patta lands and demand for royalty is made from the contractors and not from the land owners. In 5 cases, [barring the WP(C) No.2177/2066] the work was completed but because of royalty demand, the earnest money is retained by the principal employer except in the WP(C) No.2022/2006 where even the earnest money has been refunded to the contractor on satisfactory conclusion of work. Since common arguments are advanced from both sides, the following judgment will cover all five cases.

(3.) As relevant aspects in these cases are substantially similar, the facts from the WP(C) No.1832/2009 are delineated for the purpose of this judgment. In this case, the AAI entrusted the work for levelling the low lying areas and development of internal drainage system for the runway extension in the LGBI Airport, Guwahati. To execute the contract, the petitioner made agreements with owners of private patta lands for extracting earth therefrom, to execute the work. The Addl. D.M., Guwahati accorded permission for earth extraction after concurrence of the Forest Department and accordingly the contract was being executed with ordinary earth collected from private patta lands.