Telangana High Court
B.Shravan Kumar vs The South Central Railway Scr on 26 September, 2024
THE HON'BLE SRI JUSTICE C. V. BHASKAR REDDY
WRIT PETITION No.21182 of 2010
ORDER:
This Writ Petition is filed praying this Court to declare the
impugned memo No.W.148/1/9/(Vol.IV), dated 03.03.2009 on
the file of the Chief Engineer (Works), South Central Railways,
Secunderabad-2nd respondent and the action of the
respondents in unilaterally deducting 1% Labour Cess from the
outstanding bills of the petitioner under the Agreement
No.04/DEN/Estates/HYB, dt.21.7.2010 under the provisions of
Building & Other Construction Workers Welfare Cess Act, 1996
and Rules made thereunder as illegal, arbitrary, and violative of
principles of natural justice and consequently, prayed to direct
the respondents not to recover labour cess amount from the
bills of the petitioner and for other appropriate reliefs.
2. It is stated that the petitioner is a registered Contractor in
the South Central Railway and undertaking various contract
works of the respondent authorities. The petitioner was
selected and awarded contract works vide Agreement
No.04/DEN/Estates/HYB, dt.21.07.2010 and the stipulated
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period for completion of the said contract is prescribed as six
months.
3. The grievance of the petitioner is that the respondents are
not having any power to deduct any amount of cess from the
bills of the petitioner under the provisions of Building and
Other Construction Workers Welfare Cess Act, 1996 (Act 28 of
1996).
4. It is stated in the affidavit that questioning the very same
impugned memo, various writ petitions have been filed before
this Court vide W.P.No.7873 of 2009 and batch and
W.P.No.11269 of 2009 and batch.
5. Smt.Anjali Agarwal, learned counsel for the respondents
submitted that the issue raised in this writ petition is squarely
covered by the common order passed by this Court in
W.P.No.10601 of 2011 and batch, dated 24.11.2022 and
therefore, the present writ petition may be disposed of in terms
of the said order. She also produced a copy of the said common
order.
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6. This Court, after hearing all concerned, dismissed
W.P.No.10601 of 2011 and batch vide common order dated
24.11.2022 and the operative portion of the said order reads
thus:
"21. As discussed above, vide proceedings dated 03.03.2009
i.e. Chief Engineer, Works of South Central Railway has
narrated the entire facts and also G.O.Ms.No.57, dated
26.06.2007 issued by respondent No.2 constituting Welfare
Board directing all the Officers of Central Government and
State Government for recovery the building cess. He has also
referred the judgments in M/s. Cormandel Prestcrete Private
Limited 1 and the Delhi High Court in its judgment dated
28.02.2007. He has also categorized all the cases into two.
Referring to the same, vide proceedings, dated 03.03.2009,
respondent No.2 has instructed all the Divisions of South
Central Railways to work out the cess to be collected from
contractors from the agreements in force on or after
26.06.2007 and also from the agreements in which work is
completed but final bills are yet to be drawn as on date and
take immediate necessary action to recover the amounts from
the contractors' bills. Thus, there is no error in the same. It is
a reasoned order/instructions issued by respondent No.2.
22. Viewed from any angle, the petitioners failed to make out
any ground to interfere with the aforesaid proceedings and,
therefore, the writ petitions fails and the same are liable to be
dismissed."
7. In view of the above, this Writ Petition is dismissed in
terms of the common order passed by this Court in
W.P.No.10601 of 2011 and batch, dated 24.11.2022. There
shall be no order as to costs.
2011 (6) ALT 703
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As a sequel thereto, miscellaneous petitions, if any,
pending shall stand closed.
_________________________________
JUSTICE C.V. BHASKAR REDDY
Date: 26.09.2024
ns/pld
