SANJAY M. PAWAR Vs. MALEGAON MUNICPAL COUNCIL

JUDGEMENT

(1.) The Appellant has challenged the Judgment and Decree dated 27th February 2002, passed by the learned Civil Judge, Senior Division, Malegaon at Malegaon in Special Civil Suit No.129/1995, filed by the Respondent No.1 (Orig. Plaintiff).

(2.) The facts in brief are as under: Respondent No.1 had invited tenders for awarding of contract for collection of octroi duty for the period from 16 th April 1994 to 31st March 1995. Two tenders were submitted, one by the Appellant and the other by M/s. Mehanat Sales Services Private Limited (Mehanat). The tenders submitted by the Appellant was accepted despite the tender submitted by Mehanat being of a higher value. Mehanat being unresponsive and not giving commitment to furnish a bank guarantee which was a pre-condition of the contract, their tender was not accepted. The Appellant entered into a contract with Respondent No.1 on 13th April 1994. The Appellant started collecting octroi duty in terms of the contract with effect from Devendra 2-FA-1768-2002 NEW.doc 16th April 1994.

(3.) Respondent No.2, a citizen / social worker of Malegaon filed a Suit being Suit No.160 of 1994, challenging the award of the contract in favour of the Appellant and obtained ex-parte order of injunction on 27th April 1994 which was served upon the Appellant on 28th April 1994. The Appellant having been served with the injunction order, stopped the collection of octroi duty and gave charge of collection to Respondent No.1. The Appellant had filed Suit No.164 of 1994 against Respondent No.1 for damages to the tune of Rs.1.10 crores for failure on the part of Respondent No.1 to take steps to vacate the injunction order. On 16th May 1995, the injunction order was vacated by the Civil Judge, Senior Division, Malegaon, Nashik. Respondent No.1 called upon the Appellant to resume collection of octroi duty under the contract. However, the Appellant did not resume the octoi collection.