M/S ARORA RCC WORKSversusSTATE OF U.P. AND 4 OTHERS

          HIGH COURT OF JUDICATURE AT ALLAHABAD
                          WRIT - C No. - 25807 of 2025

M/S Arora Rcc Works
                                                                 .....Petitioner(s)
                                     Versus

State Of U.P. And 4 Others
                                                              .....Respondent(s)

Counsel for Petitioner(s)         : Himanshu    Srivastava,   Siddhartha
                                    Srivastava
Counsel for Respondent(s)         : Abhinava Krishna Srivastava, C.S.C.,
                                    Krishna Mohan Asthana

Court No. - 21
             HON'BLE MAHESH CHANDRA TRIPATHI, J.
             HON'BLE KUNAL RAVI SINGH, J.

1. Heard Sri Siddharth Srivastava, learned Senior Counsel assisted by Sri
Amit Shukla, learned counsel for the petitioner, Sri Devesh Vikram, learned
Additional Chief Standing Counsel for the State respondents and Sri
Abhinava Krishna Srivastava, learned counsel appearing for Moradabad
Development Authority.

2. The petitioner has preferred this writ petition for the following relief :-

     "i. A writ order or direction in the nature of certiorari
     quashing the impugned order dated 03.05.2025 (Annexure No.
     8).

     ii. A writ order or direction in the nature of mandamus
     commanding the respondents to release the illegally deducted
     amount of regulation fees amounting to Rs. 9,49,975/- and
     remaining security amount of Rs. 2,40,426/-.

     iii. A writ order or direction, in the nature of mandamus
     commanding the respondents to pay interest at the rate of 18%
     on the delayed payment of final bill after more than five years
     fren the date of completion of the work."

3. Learned Senior Counsel appearing for the petitioner vehemently
contends that the petitioner was awarded a work contract for construction
                                                                               WRIC No. 25807 of 2025
                                           2


of overhead water tank in "Dhakka Yojna" and consequently, the work
order was issued in favour of the petitioner on 09.12.2016. Later on,
another work was also assigned to the petitioner for construction of "RCC
Staircase upto top dome separate". In pursuance of the aforesaid work
order, a contract bond was also executed between the parties on
16.12.2016. Learned Senior Counsel further submits that the after due
verification of the work, the running bills were cleared and eventually,
order impugned dated 03.05.2025 was passed against the petitioner,
which is under challenge.

4. Learned Senior Counsel appearing for the petitioner, in support of his
submission, submits that while entertaining the instant writ petition, the
Division Bench on 08.10.2025 passed the following order :-

     "1. Heard Shri Siddhartha Srivastava, learned counsel for the petitioner; Shri F.A. Ansari,
     learned Standing Counsel for State respondents and Shri Abhinava Krishna Srivastava,

     learned counsel for Moradabad Development Authority (in short "Authority").

     2. The instant writ petition has been preferred for quashing the impugned order dated

     3.5.2025 and for a direction to respondents to release the deducted amount of regulation

     fees and remaining security amount along with 18% interest.

     3. The record in question reflects that the petitioner was awarded the work contract for

     construction of overhead water tank. The work was finally completed on 13.11.2019 but

     due to non-testing of the aforesaid work in time, the final payment could be made on

     29.10.2024. After five months of the final payment, there was leakage in the overhead

     water tank and as such the order impugned has been passed asking the petitioner to repair

     the leakage, otherwise further proceeding would be initiated as per the terms of the

     contract.

     4. Sufficient material is apparent before us, which indicates that huge money of exchequer

     has been siphoned in the name of construction of overhead water tank. Now it is portrayed

     before us that the leakage was only in the supply line and burden cannot be shifted upon

     the petitioner. The conduct of the officials can also not be said to be justified.

     5. Before proceeding further in the matter, we find that fact finding enquiry must be

     ensured in the matter. Accordingly, we direct the District Magistrate, Moradabad to

     conduct a fact finding enquiry by constituting a three members committee consisting of

     Secretary of the Authority; Chief Engineer of the Authority as well as Chief Engineer of the

     Public Works Department and submit a report to this Court by the next date.

     6. List this matter on 03.12.2025 in top ten of the cases.
                                                                       WRIC No. 25807 of 2025
                                        3


     7. Let a copy of this order be given to learned Standing Counsel free of cost within 48

     hours for necessary compliance."


5. In compliance of the earlier order of this Court dated 08.10.2025, Sri
Devesh Vikram, learned Additional Chief Standing Counsel for the State
respondents has placed the Inquiry Report, which is taken on record. A
perusal of the report shows that the quality of overhead tank has been
inspected by Professor Hasan Irtaza, Department of Civil Engineering,
Z.H. College of Engineering and Technology, Aligarh Muslim University,
Aligarh, who has conducted "Schmidt Rebound Hammer and the
Ultrasonic Pulse Velocity Digital Testing Indicator Test" and has found
the condition of the overhead tank to be satisfactory.

6. Learned Senior Counsel for the petitioner, in this backdrop, submits
that the order impugned is liable to be set-aside in the light of an opinion
of expert of Civil Engineering Department, Aligarh Muslim University.

7. Sri Devesh Vikram, learned Additional Chief Standing Counsel for the
State respondents and Sri Abhinav Krishna Srivastava, learned counsel
for the Moradabad Development Authority fairly conceded the fact that
the quality of the overhead tank has been verified by the expert and as per
the report submitted by the technical expert, the quality of the work,
which has been assigned to the petitioner by executing agency, has been
found to be satisfactory. They further submit that the order impugned may
be set-aside and the matter may be relegated back to the competent
authority to process the claim of the petitioner in the light of the report
submitted by the Three Member Committee.

8. We have perused the order impugned and we find that the same has
been passed in an arbitrary manner requiring the petitioner to repair the
defect occurred in overhead tank and made adverse remarks against the
petitioner for demanding the payment of illegal deducted regulation fees
and remaining security money.

9. Considering the facts and circumstances and in the light of the report
submitted by the Additional Chief Standing Counsel, wherein an expert
opinion has been obtained from the concerned department which shows
that the work which was allotted to the petitioner is found to be
                                                                                           WRIC No. 25807 of 2025
                                                                   4


                                    satisfactory, the order impugned dated 03.05.2025 is hereby set-aside and
                                    the matter is relegated to the concerned Authority to process the claim of
                                    the petitioner expeditiously preferably within a period of six weeks from
                                    the date of production of certified copy of this order.

                                    10. With the aforesaid observations, the instant writ petition stands partly
                                    allowed.



                                                      (Kunal Ravi Singh,J.) (Mahesh Chandra Tripathi,J.)
                                    April 23, 2026
                                    Sumit S




Digitally signed by :-
SUMIT SRIVASTAVA
High Court of Judicature at Allahabad