MEHTA CONSTRUCTION CO Vs. STATE OF RAJASTHAN

JUDGEMENT

(1.) THE petitioner was awarded a contract for construction of road for work of RMC from Chuck No. 0 to 85 of Sorri Kamla Amba Project. According to the terms of Agreement, the work was to commence from 22.5.1979 and was to be completed by 21.3.1980, which date was extented from time to time, sometimes on the representation of the petitioner and sometime suo moto. Vide order dated 30th June, 1982 (Annx. 10), the petitioner was informed that he has committed brench of contract by not completing the work within the time allowed and, therefore, Clause (2) of the Agreement entitles the respondent -Department for damages of Rs. 23421/ -, to be paid by the petitioner to the Government. The petitioner did not deposit this amkount. Thereafter, proceedings against the petitioner was taken for recovery of Rs. 1,20,437.38 by issuing a requisition on 15.3.1983. The Collector, Banswara rejected the petitioner's objection on the ground that if there is an Agreement between a private individual and the Government, and the individual does not comply with the terms of contract, the damages for breach of such contract can be recovered from the defaulting party, under the Public Demands Recovery Act. The petitioner also raised objection that the amkong has not been determined in accordance with law. Both the objections of petitioner were rejected by the Collector Banswara vide his order dated July 23, 1986 (Annx. 11). Thereafter, the S.D.O., Kishangarh (Ajmer) paissed an order of attachment for recovering a sum of Rs. 1,20,437.38, which consisted of Rs. 32,750/ - as damaged and Rs. 97,687.38 as interest and other expenses : totaling to Rs. 1,20,437.38. The petitioner has challenged issuance of orders Annexures 10, 11 and 12.

(2.) THE only ground raised in the petition is that the respondents being one of the contracting -party, had no authority to adjudicate upon the alleged breach of contract and to determine the damages for such breach.

(3.) I have carefully considered the pleadings of the parties and arguments raised before me.