VidhiSangh

Supreme Court of India · 04/10/2019

M/S. MADHOOR BUILDWELL PVT. LTD. versus YEOLA MUNICIPAL COUNCIL & ORS.

[2019] 13 S.C.R. 646 · 2019 INSC 1133

AI-generated headnote. Verify against the judgment before relying on it. Paragraph numbers refer to the judgment.

Summary

A sewer contractor sought release of Central funding after undertaking work awarded by a municipality. The Court held that interdepartmental correspondence seeking Finance Ministry concurrence did not establish approval or an enforceable claim to those funds. It nevertheless directed the State to address funding for the sewer scheme, recognising the urban need and prior project approvals.

Issues

  1. Whether project approval and an interdepartmental request for funds entitled the contractor to compel Central disbursement.

Held

Result

The appeal was disposed of. The State was directed to take necessary action within three months for approval under its scheme and, if unable to provide funds under its policy, seek AMRUT assistance. The Court expressed the expectation that the Centre would decide appropriately within three months thereafter. It found no illegality in the High Court’s refusal to compel the original disbursement.

Judgment PDF: Supreme Court of India, [2019] 13 S.C.R. 646.