{"id":108631,"date":"2009-04-24T00:00:00","date_gmt":"2009-04-23T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/kiran-reddy-so-madusudan-reddy-vs-the-state-of-karnataka-on-24-april-2009"},"modified":"2014-04-20T20:07:19","modified_gmt":"2014-04-20T14:37:19","slug":"kiran-reddy-so-madusudan-reddy-vs-the-state-of-karnataka-on-24-april-2009","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/kiran-reddy-so-madusudan-reddy-vs-the-state-of-karnataka-on-24-april-2009","title":{"rendered":"Kiran Reddy S\/O Madusudan Reddy vs The State Of Karnataka on 24 April, 2009"},"content":{"rendered":"
Karnataka High Court<\/div>\n
Kiran Reddy S\/O Madusudan Reddy vs The State Of Karnataka on 24 April, 2009<\/div>\n
Author: P.D.Dinakaran(Cj) & V.G.Sabhahit<\/div>\n
IN THE HIGH couwr OF KARNATAKA AT BANGALORE\nDATED THIS THE 24*\" DAY os APRIL, 2009\n\nPRESENT\n\nTHE HON'BLE MR. P.D. DINAKARAN, CHIEF JusT,1:i;::'i's\"~\u00ab'..'_gv-..: 57  _\n\nAND\n\nTHE HOWBLE MRJUSTICE v.G.';IsA:ju\u00a7;'A.H\";T   \"\n\nWRIT PETITIONS N0.11994~998 of 2oos_a_';(-_GM, \u00b0  \n\nBetween:\n\nKiran Reddy -. T\n5\/9) Madusudan Reddy   . \nAged about 28 years _ ' ._   _.   ~  ~\nOcc: Class --I Contractor]  _ _   _  ' \nR\/o House No.28\/D ' '       '\nShantinagar   ;_\nGulbarga  --------  _ '\n\n ...Petitioner\n\n(By Sri\"I.R.'--BiradVar S;$\u00bbri--~(:t\ufb01'\u00bba.g'ashetty, Advocates)\nAnd: L V\n1. we Asstatci\ufb01r Karnataka       A \u00ab\nRepresented by its Secretary\n\nDepartment_of.4Min'eVsV and Geoiogy\nM.S.BurEdEn\u00abg'v-.   \n\n7*,__eanga1cre'\u00bb S60 oc;f;7\n\n The State of E<"arn.'atat\u00bb<a\n\n~ .\u00ab Represented.' by\ufb01ts Secretary\n4: -._D\u20acp.a;'tAi':'T\u20ac-Ijt of Commerce & Industries\n M-.S;~Esu.i!dir'j'gs, Banga|ore--56O O01\n\n  '.3';:"T.|--:j\u00e9"Ch'\u00a7}ef Engineer\n\nV .G.u:i'barga\n\nIrrigation Project Zone No.1\n\n \n\n \n\n\n\n4. The Chief Engineer\nPanchayat Raj Engineering\nRisaidar Road, Seshadripuram\nBangaiore - 560 021\n\n5. The Executive Engineer\nPanchayat Raj Engineering Division\nGulbarga\n\n6. The Executive Engineer\nKarnataka Niravari i\\iigam Ltd.\nDn.i\\lo.1, Shulepet\nTaluk: Chincholli\nDistrict: Guibarga V \n\n is " -_...Respondents<\/pre>\n
(by Sri Basavaraj vi<a:red'diy*,_     "\n<\/p>\n
These writ petiti_ons airetfilevd. under  and 227 of the
\nConstitution of India;’praying~”‘t3o_ direr._t”t.h_e” _re’s_poVn’dents not to deduct
\nany royalty from the,’ bii.l_ls\u00bb’&_Vof the ipi_etitio’nergand not to insist the
\npetitioner to pl’OC!1′.iC’e thel.roy’a:lty p’aiG-._FeC6i”g;\\f.,h.y’ their vendors.<\/p>\n
These writ..pe’;itio.nsV’corning\u00e9’u-pdfor’ preliminary hearing this day,
\nthe Court delivered the fol’!ow’lnVg;~”–~.__  <\/p>\n
“gzuoe\ufb01enr
\n ;,(-Deiviveredi by”‘P’.VD. Dinakaran, C.3.)<\/p>\n
Th’e”pT_etitione.’r..in..tVh’ese petitions is a registered civii contractor<\/p>\n
Zivicarrying oncivil  of the Government Department and Local<\/p>\n
&_E:5:o~di.es..V. It is contended that for the purpose of execution of civil<\/p>\n
 wo:<l<s,–..the 'petitioner is required to purchase buiiding materials from<\/p>\n
it _:"-they privat'e sources. It is further contended that the petitioner does<\/p>\n
 snot ovyin"'a'ny quarries and that he is not liable to pay any royalty to the<\/p>\n
respondents. However, the respondents are deducting royalty from<\/p>\n
the bills of the petitioner without any authority of law. Hence,.,'the<\/p>\n
petition praying not to deduct the royaity from the <\/p>\n
petitioner in respect of the materials procured by him  priyate  it<\/p>\n
sources for execution of the civil contract worl<s.""' ~<\/p>\n
2. In similar matters, this  it \u00bb
\nomens v. STATE OF KARNATAKA A1sl,12iioiT._HE_\u00a7,zs .l.i”1″\\-‘~\/iilf\ufb02iit Petitions’
\nNo. 31384-31266 of 1994 dispose’dRof_,o’l3, ovctoiier, @994 has laid
\ndown the principles relating to:,.ivthe:=pai~,lrn.en’t”‘v.oVf’:V’*.ro’yalty by the<\/p>\n
contractors. The same are e}?.t’ractve’d he-reun\ufb01de_r\ufb01” <\/p>\n
(a) Where..pro’\u00bb:ld)ng;,th_e ma.ter’ial ..(subj’ected to royalty)
\nis the _responsibility’,:of___the_’ contractor and the
\nDepartment proyi_des’\u00abthe…contractor with specified
\nborrowVxFareas,V’ ._fo’r_ “e)\u00a7t’i*acti’on of the required
\ncanstruction’i material, the contractor will be liable
\n pay ‘royaltyivcharges for the material (minor<\/p>\n
V'”rninerai,):’e}}tracted from such areas, irrespective of
\n“-i’=ry’,hAe’t;h:er.,v_thecontract is a item rate contract or a
\n ‘contract. Hence deduction of royalty<\/p>\n
H charges in such cases will be legal. For this purpose
\nV it :n4on\u00a5Vexecution of mining lease is not relevant, as
\n*  liability to pay royalty arises on account of the
\nContractor extracting material from at Government<\/p>\n
land, for use in the work.\n<\/p>\n<\/p>\n
(b)<\/p>\n
(C)<\/p>\n
(0′)<\/p>\n
Where under the contract the responsibility to
\nsupply the material (minor minerals) is that of the
\nand the<\/p>\n
Department\/emplo yer contractor is<\/p>\n
required to provide only the labour and service fo.*’_Vt”
\nexecution of any work involving use of
\nmaterial, and the unit rate does not includeyufthe-v.r.”‘<\/p>\n
cost of material, there is nofliabii.ity”,\u00abon_:.   <\/p>\n
contractor to pay any royalty.__ This ‘will  <\/p>\n
position even if the contraictor is required to:
\ntransport the materia’l.from,ioutsidethe work”site}
\nso long as the unit raters. only fog” labjcuror service<\/p>\n
and does not include theicost  ::na’teria’l;..’:V ., <\/p>\n
Where the?_.:cor\u00a7traVctoi’*’Auses materiaipurchased in
\nopen n”iarl<eo'w,r'theat, purchased from
\nprivate\u00bbSoeu~rces:'lil<e  lease. holders or private
\nquarry __ ovvr'iers._v".there"-.._is. no liability on the<\/p>\n
con tractor to pay  y\ufb01yalty charges.\n<\/p>\n
In._.cases” paras (b) and (C) the<\/p>\n
\ufb01epartinvent cann.o.t\u00abrecover or deduct any royalty<\/p>\n
A  thebills of the contractor and if so deducted,<\/p>\n
‘ I e 1 1 ‘ ” –e.{-G)<\/p>\n
._-the will be bound to refund any<\/p>\n
h A .arnount’si_:_3 deducted or collected to the contractor.<\/p>\n
Subject to the above, collection of royalty by the<\/p>\n
he ‘rD.epartment or refund thereof by the Department<\/p>\n
he “will be governed by the terms of contract.<\/p>\n
” i<\/p>\n
X
\n‘  . …….\n<\/p>\n
_,.,:\n<\/p><\/p>\n","protected":false},"excerpt":{"rendered":"
Karnataka High Court Kiran Reddy S\/O Madusudan Reddy vs The State Of Karnataka on 24 April, 2009 Author: P.D.Dinakaran(Cj) & V.G.Sabhahit IN THE HIGH couwr OF KARNATAKA AT BANGALORE DATED THIS THE 24*” DAY os APRIL, 2009 PRESENT THE HON’BLE MR. P.D. DINAKARAN, CHIEF JusT,1:i;::’i’s”~\u00ab’..’_gv-..: 57 _ AND THE HOWBLE MRJUSTICE v.G.’;IsA:ju\u00a7;’A.H”;T ” WRIT PETITIONS […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[8,20],"tags":[],"class_list":["post-108631","post","type-post","status-publish","format-standard","hentry","category-high-court","category-karnataka-high-court"],"yoast_head":"\nKiran Reddy S\/O Madusudan Reddy vs The State Of Karnataka on 24 April, 2009 - Free Judgements of Supreme Court & High Court | Legal India<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.legalindia.com\/judgments\/kiran-reddy-so-madusudan-reddy-vs-the-state-of-karnataka-on-24-april-2009\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Kiran Reddy S\/O Madusudan Reddy vs The State Of Karnataka on 24 April, 2009 - 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