Union Of India vs Raman Iron Foundry on 12 March, 1974
In Union of India v. Raman Iron Foundry
[(1974) 2 SCC 231], a two judges Bench of the
Apex Court opined that based on a Government
contract, the Government had no right or
authority to appropriate the amounts of a
contractor from pending bills towards
satisfaction of its claim for damages without
independent adjudication by the adjudicating
authority.