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Patna High Court

Tinku PaswanversusThe State of Bihar

Decided
Disposal
DISPOSED

Holding

The Court held that the writ petition is disposed without granting mandamus and directed the petitioner to seek relief from the Executive Officer of the Nagar Panchayat.

Summary

The petitioner, Tinku Paswan, entered into a settlement agreement with the Nagar Panchayat, Raniganj for the collection of taxes (Sairat) on the Barbana Hat for Rs.62,00,000 covering 1 April 2024 to 31 March 2025. He began collecting taxes from 1‑15 April 2024 but was ordered to stop by the Divisional Commissioner on 15 April 2024 due to the Model Code of Conduct applicable during the 2024 elections. Collection resumed only on 12 July 2024 and continued till the contract expiry, leading the petitioner to claim a refund for the period 16 April‑11 July 2024 and to seek a mandamus directing the respondents to extend the contract term. The respondents contended that the petitioner should seek relief from the Executive Officer of the Nagar Panchayat. The Court noted the factual admissions, recognized the petitioner’s entitlement to a refund for the blocked period, and declined to issue mandamus, directing the petitioner to approach the Executive Officer for a decision within six weeks, with interest payable if delayed.

Issues considered

  • Whether the petitioner is entitled to an extension of the contract period and continued collection of Sairat despite the election‑related order.
  • Whether the petitioner is entitled to a refund for the period during which collection was prohibited.
  • Whether a writ of mandamus can be issued directing the respondents to extend the contract term.

Subjects

  • contract settlement
  • mandamus
  • Model Code of Conduct
  • municipal authority
  • refund
  • interest

Judgment

                     IN THE HIGH COURT OF JUDICATURE AT PATNA
                               Civil Writ Jurisdiction Case No.2389 of 2025
                 ======================================================
                 Tinku Paswan Son of Sahdeo Paswan, resident of Mohalla- Raniganj, Paswan
                 Tola, Ward No. 6, P.O. - Maryganj, P.S. Raniganj, District - Araria.

                                                                           ... ... Petitioner/s
                                                   Versus
           1.    The State of Bihar through the Chief Secretary, Government of Bihar, Patna.
           2.    The Additional Chief Secretary, Urban Development and Housing
                 Department, Government of Bihar, Patna.
           3.    The Divisional Commissioner, Purnea Division, Purnea.
           4.    The Nagar Panchayat, Raniganj, P.O. and P.S. Raniganj, District- Araria.
           5.    The Executive Officer, Nagar Panchayat, Raniganj, P.O. and P.S. Raniganj,
                 District- Araria.

                                                           ... ... Respondent/s
                 ======================================================
                 Appearance :
                 For the Petitioner/s  :         Mr.Awnish Kumar, Advocate
                 For the Respon.No.4&5 :         Mr.Rajesh Kumar, Advocate
                 For the State         :         Mr. Rohit Singh, AC to GP-6
                 ======================================================
                 CORAM: HONOURABLE MR. JUSTICE RAJIV ROY
                                       ORAL ORDER

5   27-04-2026              Heard Mr. S.B.K. Mangalam, learned counsel for the

                   petitioner and Mr. Rajesh Kumar, learned counsel for the Nagar

                   Panchayat, Raniganj as also learned State Counsel Mr. Rohit

                   Singh, Mr. Sanjay Kumar for the State.

                              2. The present petition has been preferred for the

                   following relief/s:

                                           (i) for issuance of an appropriate writ in the

                                           nature of MANDAMUS commanding and

                                           directing the Respondent Authorities for

                                           extension of time of contract by which a

                                           Sairat was settled in favour of the petitioner
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                                  on the ground that according to terms of

                                  contract, the petitioner was entitled to take

                                  possession of Sairat in question with effect

                                  from 1st of April,2024 and he was entitled to

                                  continue till 31.03.2025, however, due to

                                  arbitrary order and illegal action of the

                                  Respondents, the possession of Sairat in

                                  question was since handed over to the

                                  petitioner on 12.07,2024, he is entitled for

                                  collection of Sairat till 11.07.2025;

                                  (ii) for a declaration that since the petitioner

                                  had already deposited the full and final

                                  settlement amount of Sairat in question

                                  before 31.03.2024 itself, his entitled for

                                  collection of said Sairat until 31.07.2025

                                  cannot.

                        3. The Nagar Panchayat, Raniganj entered into an

          agreement with the petitioner with regard to the settlement of

          Barbana ‘Hat’ for a consideration amount of Rs.62,00,000/- for

          the period 01.04.2024 to 31.03 2025 (Annexure-P/4 to the

          petition).

                       4. Learned counsel for the petitioner submits that no
Patna High Court CWJC No.2389 of 2025(5) dt.27-04-2026
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          sooner he started collecting the tax, in came, the order of the

          Divisional Commissioner, Purnea Division, Purnea dated

          15.04.2024 observing that since Model Code of Conduct was

          already there pursuant to the 2024 Parliamentary Election, the

          Nagar Panchayat, Raniganj wrongly entered into an agreement

          which be taken up only after the election period is over/the

          Model Code of Conduct comes to an end.

                       5. The submission is that finally from 12.07.2024 till

          31.03.2025. He could realize the amount. The submission is that

          he had tasted of fruits only between:

                                       (i) 01.04.2024 to 15.04.2024;

                                       (ii) 12.07.2024 to 31.03.2025

                       6. In that background, he is entitled to the refund for

          the rest of two months 27 days (16.04.2024 to 11.07.2024).

                       7. A counter affidavit has come on behalf of the

          Nagar Panchayat, Raniganj and Mr. Rajesh Kumar representing

          the respondent submits that the facts are already on record

          which cannot be denied and in that background, if the petitioner

          approaches the Nagar Panchayat, Raniganj; an appropriate order

          shall be passed on his claims for the refund of the amount.

                       8. This Court has taken note of the facts of the case as
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          also the submissions put forward by the parties. The facts which

          are in the domain and not denied by the respondents is/are that:

                                  (i) the parties entered into the settlement for

                                  the Barbana Hat for a consideration amount

                                  of Rs. 62,00,000/-;

                                  (ii) it was for the period between 01.04.2024

                                  to 31.03.2025;

                                  (iii) pursuant thereto, the petitioner started

                                  taking rent from 01.04.2024 to 15.04.2024;

                                  (iv)    pursuant       to   the   order   of   the

                                  Commissioner, Purnea Division, Purnea as

                                  recorded above which led to stoppage of the

                                  work of the petitioner;

                                  (v) it commenced only on 12.07.2024 and

                                  continued till the last date (31.03.2025;

                                  (vi) in that background, he certainly entitled

                                  to refund of the amount.

                       9. In that background, the writ petition is disposed of

          allowing the petitioner to approach the respondent no.05, the

          Executive Officer, Raniganj, Araria in next two weeks who shall

          be taking a decision within a period of further six weeks.
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                                10. Needless to add that the amount that is decided by

                   the Executive Officer, Nagar Panchayat, Raniganj, Araria may

                   be released in favour of the petitioner by next four weeks failing

                   which he shall be entitled to an interest of 9% thereafter, till the

                   amount is paid.



                                                 (Rajiv Roy, J)
Ravi/-

U


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