Jagya Dutt Sharma vs. State Of Punjab & Ors

Held

The Court, without delving into the merits of the case, directed the respondent-Corporation to release the entire payment for which a completion certificate had been issued to the petitioner. The petitioner undertook to clear his GST liability within eight weeks of receiving the payment. Additionally, the respondent-Corporation was ordered to pay interest at the rate of 6.5% per annum on the delayed payment, calculated from the date of issuance of the completion certificate, within three months. The Court did not explicitly address the issue of whether some work still required completion, focusing instead on releasing payment for certified completed work and compensating for the delay.

Facts

The petitioner, Jagya Dutt Sharma, filed a writ petition seeking directions for the respondents to pay the remaining outstanding amount along with interest for completed work. The respondents (State of Punjab and others, specifically respondent Nos. 2 to 7) stated that all bills submitted by the petitioner, including GST challan forms, had been released. They further indicated that the work was completed and a completion certificate was issued, but payment was delayed due to the petitioner not submitting GST bills. However, at a later stage, counsel for respondents 2 to 7 informed the court that some work still required completion. The petitioner sought payment of the outstanding amount with interest.

Key Issues

1. Whether the respondent-Corporation is liable to release the entire payment for work completed, as evidenced by a completion certificate, despite an assertion that some work still requires completion? 2. Whether the petitioner is entitled to interest on the delayed payment of the outstanding amount? Petitioner's Contention: The petitioner sought directions for the release of the remaining outstanding amount along with interest at 18% per annum for the completed work. Respondents' Contention: Respondent Nos. 2 to 7 initially stated that all bills with GST challan forms were released and the work was completed with a certificate issued. They later clarified that some work still required completion. They also indicated that payment was delayed due to the petitioner not submitting GST bills.