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M/S Bachan Traders vs State Of Bihar & Ors on 31 March, 2009

12. The Division Bench in the case of M/s Bachhan Traders (supra) held that the aforesaid clause 12 of the tender notice does not sanction forfeiture of licence fee and for forfeiture of the security deposit the certificate submitted with the tender should have been found to be forged (farzi). We are in agreement with the aforesaid views of the Division Bench and hence, we also Patna High Court CWJC No.1117 of 2009 dt.13-09-2012 11/ 12 come to the conclusion that there is no legal sanction for forfeiture of the security deposit or the licence fee in the present two cases. The decision of the concerned District Magistrates not to refund the licence fees for the year 2001- 02 deposited in advance by the petitioner Ashok Kumar cannot be sustained in law. We hold him entitled to refund of the licence fee deposited by him for that period as well as the security amount. The concerned District Magistrates may either refund to him the amounts of licence fee and the security deposit or adjust the amounts against government dues including sales tax, if any. If after adjustment any refundable amount remains payable the same should be paid to him within two months from today.
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