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Malabar Plus Constructions Pvt. ... vs State Of Kerala
2021 Latest Caselaw 4290 Ker

Citation : 2021 Latest Caselaw 4290 Ker
Judgement Date : 5 February, 2021

Kerala High Court
Malabar Plus Constructions Pvt. ... vs State Of Kerala on 5 February, 2021
WP(C).No.2322 OF 2021(M)
                                     1

            IN THE HIGH COURT OF KERALA AT ERNAKULAM

                               PRESENT

                 THE HONOURABLE SMT. JUSTICE P.V.ASHA

    FRIDAY, THE 05TH DAY OF FEBRUARY 2021 / 16TH MAGHA,1942

                       WP(C).No.2322 OF 2021(M)


PETITIONER/S:

                MALABAR PLUS CONSTRUCTIONS PVT. LTD.,
                BUILDING NO.MM21/28A,KUTTIPARA,
                PAYYANAD,MANJERI,MALAPPURAM DISTRICT-
                676122,REPRESENTED BY ITS DIRECTOR,HANEEZ,S/O
                KUNHIMUHAMMED,RESIDING AT VADAKKANGARA PALLIKKARA
                HOUSE, KUTTIPARA,PAYYANAD,MANJERI,ELANKUR,
                MALAPPURAM DISTRICT-676122.

                BY ADVS.
                SRI.JOMY GEORGE
                SRI.R.PADMARAJ
                SRI.M.J.BENNY
                SRI.DEEPAK MOHAN
                SMT. CHITRA N. DAS
                SHRI.RISHAB S.

RESPONDENT/S:

      1         STATE OF KERALA
                REPRESENTED BY CHIEF SECRETARY,
                GOVERNMENT SECRETARIAT,
                THIRUVANANTHAPURAM-695001.

      2         THE SECRETARY,
                PUBLIC WORKS DEPARTMENT,
                GOVERNMENT SECRETARIAT,
                THIRUVANANTHAPURAM-695001.

      3         THE SUPERINTENDING ENGINEER,
                PWD ROADS NORTH CIRCLE,
                PWD COMPLEX,MANANCHIRA,
                KOZHIKODE-673001.

      4         THE EXECUTIVE ENGINEER,
                PWD ROADS DIVISION,MANJERI,
                MALAPPURAM DISTRICT-676121.
 WP(C).No.2322 OF 2021(M)
                               2

OTHER PRESENT:

             SR.K.V.MANOJ KUMAR, SRGP

     THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
05.02.2021, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
 WP(C).No.2322 OF 2021(M)
                                                 3




                                          JUDGMENT

Dated this the 5th day of February 2021

Pursuant to the notice inviting tender petitioner has been

awarded the work of "budget works 2017-18-for special sanction

providing BM&amp BC works between Km.3/000 and 8/000 of Tirur-

Malappuram road, including land acquisition and widening works

at town areas in Tanur LAC in Malappuram District" and

"providing BM&BC to Pattambi-Veterinary Hospital Muthuthala road

Km.0/000 to 8/000 in Palakkad District" covered by Exts.P1 and

P2 selection notice. Petitioner was asked to furnish performance

guarantee of Rs.23,81,900/- in the first work and Rs.28,28,700/-

in the 2nd work and 50% of both of these amount are to be

submitted in the form of treasury deposit. It is stated that

based on Exts.P6 and P7 total amount payable has been reduced to

Rs.31,26,400/-. The petitioner submits that a sum of

Rs.45,05,804/- is due to him for the work "SLTF 2018-19 (Flood

Damaged works) BM&BC renewal and drain works to Tirur-Malappuram

road between km 0/000 to0/350 and km 1/900 to 2/040 in Tirur LAC

Malappuram District covered by Exts.P3 and P3(a) certificates.

As per Ext.P4 -G.O.(Rt) No. 3834/2020/Fin dated 23.06.2020

Government has ordered that the amount under audited and passed

bills of contractors would be accepted as Performance

Guarantee/Additional Performance Guarantee for new contracts. In WP(C).No.2322 OF 2021(M)

the light of Ext.P4 Government order dated 23.06.2020 petitioner

had submitted application to adjust the performance guarantee

from the amount due to him in Exts.P3 and P3(a).

2. The 3rd respondent thereupon informed the petitioner as

per Ext.P5 letter that bill amount would be accepted towards

performance guarantee on the basis of indemnity certificate

issued online in EMLI application, as provided in Ext.P4 order.

This writ petition is filed at this stage, as the EMLI software

has not so far been modified in tune with Ext.P4 order.

3. Petitioner points out that in the case of several

contractors pending bills are already adjusted manually on the

basis of directions from this Court since the EMLI software has

not been modified so far in tune with Ext.P4 Government Order.

4. Learned Government Pleader also submitted that the EMLI

software is not modified so far.

5. Ext.P4 Government order has been issued as early as on

23.06.2020. As per sub clause (v) of Clause 3 of Ext.P4 order,

work bill amount will be accepted as Guarantee for new works

being awarded, only on the basis of indemnity certificate issued

online in EMLI application. Clause 4 provides for effecting

necessary modifications in EMLI to facilitate the new system.

The facility for adjustment of the bills have been ordered by

Government for the benefit of the contractors on their request.

When such a facility is ordered, Government has also to see that

suitable modifications are effected in the software so as to WP(C).No.2322 OF 2021(M)

enable the contractors to enjoy the benefit of the order. The

petitioner cannot therefore be denied the benefit of the order.

This Court has in several cases directed the respondents to

carry out the adjustment manually.

Therefore, there shall be a direction to the 3 rd respondent

to re-consider the request of the petitioner and to adjust the

admissible amount under the pending bill covered by Exts.P3 and

P3(a) towards performance guarantee in accordance with Ext.P4

Government Order manually, i.e., without insisting for indemnity

certificate through EMLI. This shall be done within a period of

'three weeks' from the date of receipt of a copy of the

judgment. Petitioner shall also be granted time for execution of

agreement by a further period of 'two weeks'.

Sd/-

                                                 P.V.ASHA

rkc                                                  JUDGE
 WP(C).No.2322 OF 2021(M)




                           APPENDIX
PETITIONER'S/S EXHIBITS:

EXHIBIT P1           TRUE COPY OF THE SELECTION NOTICE         NO.DC
                     07/2017/10927 DATED 30.12.2020

EXHIBIT P2           TRUE   COPY   OF   THE   SELECTION   NOTICE
                     DCO8/PRICE/2018/868 DATED 30.12.2020

EXHIBIT P3           TRUE   COPY  OF   THE  CERTIFICATE   NO.A2-

D7/1857/2020 DATED 08.01.2021 ISSUED BY THE 4TH RESPONDENT

EXHIBIT P3(A) TRUE COPY OF THE CHECKLIST-GENERAL BILL DT.23.12.2020

EXHIBIT P4 TRUE COPY OF THE GOVERNMENT ORDER G.O.

(RT)NO.3834/2020/FIN DATED 23.06.2020

EXHIBIT P5 TRUE COPY OF THE REJECTION ORDER DATED 18.01.2021 OF THE 3RD RESPONDENT

EXHIBIT P6 THE TRUE COPY OF THE LETTER DATED 21.01.2021 ISSUED BY THE 3RD RESPONDENT WITH REGARD TO THE REDUCTION OF PERFORMANCE GUARANTEE AS 3% FOR EXHIBIT P-1 WORK

EXHIBIT P7 THE TRUE COPY OF THE LETTER DATED 20.01.2021 ISSUED BY THE 3RD RESPONDENT WITH REGARD TO THE REDUCTION OF PERFORMANCE GUARANTEE AS 3% FOR EXHIBIT P-2 WORK

EXHIBIT P8 TRUE COPY OF THE JUDGMENT DATED 09.11.2020 IN W.P(C)NO.22048/2020 OF THIS HONOURABLE COURT.

 
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