Prakash Chandra Gupta vs The State of Bihar and Others

Barin Ghosh, J.—The respondent-Municipality, after having had, accepted a sum of Rs. 15,000/- on 4.2.1990 and another sum of Rs. 10,000/-on 25th December, 1990 for allotment of a shop in the Municipal Shoping Complex, has failed to allot any such shop to the petitioner and at the same time has failed to refund any apart of such deposit despite requests. No counter affidavit has been filed by the respondent-Municipality, but during the pendency of the writ petition on 20th March, 2001 the Municipality refunded the principal amount of Rs. 25,000/-.

In the writ petition the petitioner has sought for refund of said sum of Rs. 25,000/- together with appropriate interest thereon. Having regard to the fact that admittedly the Municipality had utilized the said sum of Rs. 25,000/- for a period in excess of ten years, it would be appropriate to direct the Municipality to pay interest thereon at the rate of 10% per annum from 4th June, 1990 on Rs. "15,000/- and from 25th December, 1990 on Rs. 10,000/-untii 20th March, 2001 within a period of one month from the date of service of a copy of this order upon the Municipality. This disposes of the writ petition.