SHAKUMBHRI UDYOG Vs. STATE OF BIHAR

JUDGEMENT

(1.) THIS writ application has been filed by the petitioner, a proprietorship firm of Haryana, for a direction to the respondent-State of Bihar and its officials including the Collector, Darbhanga, to refund the amount illegally deducted from the bills of the petitioner on account of sales tax deduction on supply of blankets from Panipat, Haryana, on the ground that the supply/sale was made as a result of inter-State trade and as such no sales tax is payable under the provisions of the Bihar Finance Act, 1981 with regard to the supply of blankets.

(2.) ON February 22, 2003 a short tender notice was published by respondent No. 2-Collector, Darbhanga, for supply of 78,087 blankets in the district vide annexure-1 of the writ application. In terms of the said notice, the petitioner submitted his tender on February 27, 2003. The tenders submitted by the petitioner and others were considered by the District Purchase Committee under the chairmanship of respondent No. 2-Collecter, Darbhanga, and the tender of the petitioner was accepted. Thereafter, a supply order for supply of the blankets at the rate of Rs. 135 per blanket was sent to the petitioner at his Panipat residence in the State of Haryana. The supply order (annexure-2), inter alia, provided that the supply of the blankets has to be made within twenty days and the supplier at his own cost has to supply the blankets at 18 Block headquarters of the district and after supply of blankets, inspection of the quality of the supplied blankets has to be made by the concerned officers as mentioned in the supply order and on their quality certificate, payment will be made after deducting 10 per cent and after supply of the entire quantity of blankets and on receipt of the necessary quality certificate from the concerned officers by the District Magistrate, the remaining 10 per cent amount will be paid to the supplier. A copy of the said supply order has been appended as annexure-2 to the writ application.

(3.) ACCORDING to the tender notice, an agreement was also to be entered into between the parties after the issuance of the supply order but admitted fact is that no agreement has been entered into between the parties.