New Delhi, Feb 28 (PTI) The Supreme Court Monday set aside the Bombay High Court judgement which had quashed the Gondia municipal council's action of cancelling the work order for purchase of desks, benches, almirahs and tables for a school.
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The apex court, which said the high court had “not at all appreciated” the reasons for cancelling the work order till further orders, noted that the decision by the authority concerned was taken pursuant to a government resolution which was necessitated due to the COVID-19 pandemic and that the council did not have sufficient funds.
“Even otherwise, no writ of mandamus could have been issued virtually granting the writ for specific performance of the contract/work order in a writ petition under Article 226 of the Constitution of India,” a bench of Justices M R Shah and B V Nagarathna said.
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The top court delivered its verdict on an appeal filed by the municipal council against the January last year judgement of the Nagpur bench of the high court which had allowed the writ petition filed by the successful bidder who had participated in the tender process for purchase of desks, benches, almirahs and tables.
The bidder had approached the high court against the municipal council's action cancelling the work order till further orders.
The high court had said that the bidder was entitled to make the supply in pursuance of the February 2020 work order to the council, consequent to which it will be entitled to payment as per the terms of the work order.
The apex court noted in its verdict that the work order was issued in favour of the successful bidder but due to the COVID-19 pandemic and the lockdown in force, the Maharashtra government had issued a resolution in May 2020 which said that non-priority expenditure should not be incurred.
It noted that in pursuance of the resolution, the president of the municipal council informed the chief officer that as the council was not having any income due to the lockdown and most of the schools were closed, no purchases should be made and no proposal for the same should be forwarded.
Later, the chief officer informed the successful bidder that the work order was suspended until further orders.
The apex court observed it appeared that the high court was made to believe that the petitioner had already manufactured the goods, which are customized and as per the specifications and the work order.
“However, it is now found that there are no manufactured goods readily available which can be supplied to the appellant – council,” the bench noted, adding, “There are disputed questions of fact such as whether in fact the goods were manufactured as per the specifications or not.”
It said that in the absence of any evidence and material on record and there being disputed questions of facts, the high court ought not to have passed the judgment directing the council to continue the work order, accept the goods and to make the payments as per the work order.
“The original writ petitioners ought to have been relegated to file a civil suit for appropriate relief of losses/damages, if any, sustained,” it said.
“The high court has not at all appreciated the reasons for suspending/cancelling the work order till further orders. It is to be noted that the decision dated July 7, 2020 was taken pursuant to the GR dated May 4, 2020 which was necessitated due to COVID19 pandemic and there was a lockdown and the schools were closed and that the council had no sufficient funds,” the bench said, while allowing the appeal.
The apex court, while setting aside the high court judgement, made clear that this shall not preclude the successful bidder in initiating appropriate proceedings before the civil court for the damages or losses, if any suffered by them, which may be considered in accordance with law and on its own merits.
(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)













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