RAJENDRAPRASADJAISWAL Vs. STATE OF BIHAR

JUDGEMENT

(1.) These two writ applications involving common questions of fact were with the consent of the parties taken up for hearing together and are being disposed of by this common judgment.

(2.) The basic facts of this case are not disputed. The State of Bihar makes settlement for toll collection of Dumri (Isri) Bus Stand by action. In the year 1990-91, the petitioner of C.W.J.C. 721 of 1991 (R) being the highest bidder, by an order dated 10-4-1990 as contained in Annexure-1 to the said writ application the job of collection of tolls from the small and big vehicles at the said bus stand had been given to the petitioner. A notice was published in the newspaper 'Awaz' dated 16th March, 1991 by respondent No. 2 (Annexure-2) intimating all concerned that a public auction would be held on 26-3-1991 for the purpose of collection of toll for the period 1-4-1991 to 31-3-1992. In terms of the said notice, a minimum guarantee of Rs. 1,38,820.00 was fixed and the intending bidders were required to deposit 5%, of the said amount prior to participation in the auction with the Circle Officer and to file necessary income tax clearance certificate as also certificate from the District Magistrate or the Superintendent of Police concerned. According to the petitioner of C.W. J.C. No. 721 of 1990 (R) in the said auction, the petitioner became the highest bidder having offered a sum of Rs. 2,31,050.00. According to the petitioner some persons who could not compete with him started taking the law in their own hands and in such a situation, respondent No. 3 declared the auction as cancelled and also directed return of the earnest money deposited by the participants in the said auction. However, according to the petitioner, after cancellation of auction and refund of the security money, the said settlement was made in favour of respondent No. 4.

(3.) The petitioner has contended that respondent No. 3 by letter dated 27-3-1991 intimated respondent No. 2 about the incident which took place 26-3-1991 while the said auction was held and requested him for taking suitable action in the matter. Tn the said letter, respondent No. 3 stated as to under what circumstance, the settlement was made in favour of respondent No. 4 even without complying with the conditions for deposit of 5% of the bid amount. The aforementioned letter dated 27-3-1991 is contained in Annexure-3 to the writ application.