[Cites 1, Cited by 0]
Himachal Pradesh High Court
Decided On: 16.12.2025 vs Union Of India And Others on 16 December, 2025
Author: Ajay Mohan Goel
Bench: Ajay Mohan Goel
2025:HHC:43939
IN THE HIGH COURT OF HIMACHAL PRADESH, SHIMLA
.
CWP No. 7507 of 2024
Decided on: 16.12.2025
M/s The Shivam Enterprises ... Petitioner
Versus
Union of India and others ... Respondents
of
Coram
Hon'ble Mr. Justice Ajay Mohan Goel, Judge.
Whether approved for reporting?1
_____________________________________________________
rt
For the petitioner : Ms. Amanpreet Kaur, Advocate
through VC and Ms. Anchal Sharma,
Advocate.
For the respondents : Mr. Rajinder Thakur, CGC for
respondents No. 1 and 3.
: Mr. Rajpal Thakur, Addl. AG for
respondents No. 2, 4 and 6.
Ajay Mohan Goel, Judge (Oral)
By way of this writ petition, the petitioner has inter alia
prayed for the following reliefs:-
"(i) To issue writ, in the nature of 'Mandamus' directing
respondents No. 1, 3, 5 and 6 to release the pending balance
payment of Rs. 4,18,89,498/- of Engineering, Procurement &
Construction/EPC-25, Chamba agreement dt. 28.01.2022
(Annexure P-3), along with interest @ 12% till realization."
2. When this case was lastly listed before the Court on
11.12.2025, the following order was passed:-
Whether reporters of the local papers may be allowed to see the judgment?
2025:HHC:43939
"As per report of the Registry, the report of the
.
Committee has not been furnished. Learned Counsel appearing
for the petitioner submits that the petitioner has not been
invited by the Committee for any negotiations.
This Court is of the considered view that if that is so,
of
then the same amounts to contempt of Court because as far
back as on 31.10.2025, the Court was intimated by learned
Deputy Advocate General that the Committee stood constituted
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and the date was being collected by the Committee and that
petitioner shall be associated by the Committee before any
final decision is arrived at.
The case is ordered to be listed on 16.12.2025, on
which date learned Deputy Advocate General shall apprise the
Court as to what all the Committee has done as from the date
of passing of the above mentioned orders, i.e. order dated
31.10.2025."
3. Today, learned Additional Advocate General has handed
over instructions received from the Executive Engineer, NH Division,
HPPWD, Theog, which are reproduced herein below:-
"In this regard it is submitted that as per the directions
issued vide the matter was pursued with the office of Ld.
District Attorney at the office of the worthy Engineer-in-chief
Shimla and data of the constituted committee is attached for
your kind perusal and also refer to the matter in this regard,
attention is invited to the communication issued from the office
2025:HHC:43939
of the no PW-LC-worthy Engineer-in-Chief. HPPWD vide letter
.
CWPNo.7572/2023/Shivam Enterprises/-2610 dated
08/12/2025, endorsed by the District Attorney (PW), wherein it
has been categorically clarified that, the issue involved in the
matter is not with respect to any admitted liability, but relates to
of
a claim raised by the petitioner to which he is not entitled, as
per the respondents. The entire admissible payment in respect
of the executed work already stands released to the petitioner
rt
and no bill or amount is pending. The Committee for deciding
claims in respect of pending bills of contractors has been
constituted by the Government vide notification dated
07.07.2025, and in the present case, no such pending bill
exists. The information as desired by the Government for
placing the matter before the Committee had already been
submitted vide e-mail dated 16.07.2025. The matter is being
contested by the Department on merits, and instructions have
been sought for apprising the Office of the Learned Advocate
General accordingly.
It is, therefore, respectfully submitted that the factual
position, as clarified above, may kindly be taken on record for
the purpose of compliance of the directions issued by the
Hon'ble High Court please."
4. Reply filed by the respondents-State has also been
perused by the Court and relevant portion thereof reads as under:-
2025:HHC:43939
"3....Accordingly, the work was awarded to the M/s
.
Shivam Enterprises # 110 Bawa Nagar Chandigarh road,
Rajpura 140401, Patiala Punjab on 03-12-2021 2022 (Copy
enclosed as Annexure R-2) with a time limit of 9 months subject
to maintenance for period up to 5 years as per the site handing
of
over memorandum the complete site was handed to the
contractor on 05-02-2022 (Copy enclosed as Annexure R-3). The
scope of work mainly comprised of Construction of Retaining -
rt
wall, Thrie beam Crash barriers, Signage from Katori Bangla to
Chamba Km 39/00 to 106/00 including rectification of
identified black spots (7 Nos) at RD 39/00,RD 42/165 to
42/195,RD 49/880 to 49/960,RD 57/300 to 57/315,
RD59/240, RD59/290 to 59/350& RD 89/620 of NH154A in a
length of KM 30.820 at Project cost of Rs 24.90 Crores. There
are some serious lapses on part of the contractor which are
summarized as under:-
(i) Non completion of critical work:-It is respectfully submitted
that the contractor mainly executed the profitable part of the
work i.e. installation of crash barrier and construction of Plain
cement concrete (PCC) Retaining wall, Reinforced cement
concrete (RCC) Retaining wall in a length of 115 Meter which
was essentially required at site on RD 104/520 to 104/635
(Parel Ghar) photograph attached (Copy enclosed as Annexure
R-18), due to quite narrow portion of the road just along the river
side work was never started by the contractor at site, Despite
2025:HHC:43939
repeated requests and management meetings vide letters on
.
19.03.2022, 19.10.2022, 06.07.2023, 16.08-2023 23.08.2023
20.10.2023 ,28.11.2023 ,01.02.2024 25.05.2024 (Copy
enclosed as Annexure R-4 to R-12) the contractor least bother to
submit the design of RCC Retaining wall which was incumbent
of
on his fault, being EPC (Engineering procurement and
construction) mode of contract as such very purpose of sanction
of the road safety DPR (Detailed Project Report) by MORTH
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(Ministry of Road Transport and Highway )was defeated due to
breach of contract on the part of contractor.
(ii) Submission of false bill:-The contractor submitted
wrong/false claim of payment toward his 9th running bill
amounting to Rs.1,74,30,000{ONE CRORE SEVENTY FOUR
LACS THIRTY THOUSAND},on scrutiny of bill in higher office.
The false claim of contractor was noticed and the claim was
rejects as per the Schedule H (Copy enclosed as Annexure R-15)
of the agreement This false claim constitutes a gross breach of
trust and ill intention on part of the contractor to defraud the
Department.
(iii) Arbitration Penalties: Request to Avoid The contractor has
not approached this Hon'ble High Court with clean hands and
he has suppressed the material fact from the Hon'ble court.
However, it is clear that this request is a tactical maneuver to
shift the responsibility of delay and to avoid the penalties that
would otherwise be imposed for none performance, delays and
2025:HHC:43939
fraudulent billing. Even the end treatment of crash barrier was
.
not completed by the contractor which was very crucial for
safety point of view and also pointed out by the Ministry of
Road Transport and Highway (MORT&H) Officer during
inspection vide letter no. 05.07.2024(Copy enclosed Annexure R-
of
13)."
5. This Court is of the considered view that in the peculiar
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facts of this case as there are disputed facts between the parties as to
whether the entire emoluments to which the petitioner is entitled,
stands released in favour of the petitioner or not, these issues cannot
be decided by this Court under Article 226 of the Constitution of
India and the better course for the petitioner shall be to have
recourse to the other legal remedies which are available to it.
6. Accordingly, this writ petition is closed, with liberty to the
petitioner to have recourse to such remedies, as are available to it, in
accordance with law. Pending miscellaneous applications, if any,
also stand disposed of accordingly.
(Ajay Mohan Goel)
Judge
December 16, 2025
(narender)
