THE HON'BLE THE CHIEF JUSTICE ALOK ARADHE
AND
THE HON'BLE SRI JUSTICE N.V.SHRAVAN KUMAR
WRIT APPEAL No.680 of 2006
JUDGMENT: (Per the Hon'ble the Chief Justice Alok Aradhe)
Mr. Gaddam Srinivas, learned Standing Counsel for the
appellant.
Mr. C.Ramachandra Raju, learned counsel for the
respondent.
2. This intra court appeal arises from order dated 05.02.2004 passed by learned Single Judge in W.P.No.16438 of 1997, by which writ petition preferred by the respondent (hereinafter referred to as 'petitioner') has been allowed.
3. In order to appreciate the grievance of the appellant, relevant facts need to be mentioned.
4. The appellant namely Andhra Pradesh State Road Transport Corporation (hereinafter referred to as 'Corporation') issued a notice inviting tenders on 28.11.1996 ::2::
for allotment of open spaces or constructed shops as the case may be at various bus stations in Karimnagar region. In pursuance of the aforesaid notice inviting tenders, the petitioner submitted the tender for opening of plastic and leather goods shop in the Karimnagar bus station in an open space of 5 x 8 feet. The petitioner along with his tender offered to pay a licence fee of Rs.6,254.60 Ps. The tender submitted by the petitioner was accepted by the Deputy Chief Traffic Manager, Karimnagar Region and an agreement was executed between the parties on 14.02.1997. The petitioner, after acceptance of the tender, submitted a representation on 19.02.1997, in which he made a request that he be allotted a place at Platform No.19. However, the aforesaid representation of the petitioner was rejected by an order dated 27.02.1997. Thereafter a show cause notice dated 25.06.1997 was sent to the petitioner asking him to show cause as to why the licence granted to the petitioner on 14.02.1997 be not cancelled. The Corporation however by an order dated 15.07.1997 directed cancellation of licence awarded to the petitioner and forfeiture of the earnest money of Rs.12,509.20 Ps.
::3::
5. The petitioner thereupon challenged the aforesaid show cause notice dated 25.06.1997 in a writ petition namely W.P.No.16438 of 1997. Learned Single Judge by an order dated 05.02.2004 allowed the writ petition and directed the Corporation to refund the amount of Rs.12,509.20 Ps. along with interest at the rate of 9%. In the aforesaid factual background, this appeal has been filed.
6. Learned counsel for the appellant submitted that the earnest money deposit of the petitioner was forfeited as he had violated Clause 30 of the agreement in as much as the petitioner did not commence the business within a period of 90 days.
7. On the other hand, learned counsel for the respondent has supported the order passed by the learned Single Judge.
8. We have considered the submissions made by learned counsel for the parties and have perused the record.
::4::
9. From the perusal of the notification dated 28.11.1996, it is evident that in the aforesaid notification, the particulars of the open spaces or constructed shops have not been specified. The petitioner had submitted a tender to run a plastic and leather goods shop in the Karimnagar bus station in an open space of 5 x 8 feet. On acceptance of his tender, the petitioner had submitted a representation on 19.02.1997 stating that he be allotted an open place at Platform No.19. However, instead of allotting him a place at Platform No.19, the representation submitted by the petitioner was rejected by the Corporation on 27.02.1997. The Corporation ought to have suggested the petitioner any other alternative place where he set up his shop. However, instead of offering him any alternative shop, by an order dated 15.07.1997, the earnest money deposit representing two months licence fee amounting to Rs.12,509.20 Ps. was forfeited by the petitioner. The aforesaid action of the Corporation is unjust and unfair. Learned Single Judge has, therefore, rightly directed the Corporation to refund the earnest money deposit amount of Rs.12,509.20 Ps. to the petitioner along with interest at the rate of 9%. However, the ::5::
rate of interest is on the higher side. The same is reduced to 6%.
10. The Corporation is directed to refund the earnest money deposit amount of Rs.12,509.20 Ps. to the petitioner along with interest at the rate of 6%.
11. To the aforesaid extent, the order dated 05.02.2004 passed by learned Single Judge in W.P.No.16438 of 1997 is modified.
12. In the result, the Writ Appeal is disposed of. There shall be no order as to costs.
Miscellaneous applications, if any pending, shall stand closed.
_______________________________ ALOK ARADHE, CJ _______________________________ N.V.SHRAVAN KUMAR, J Date: 03.10.2023 KL