Patan court issues seizure warrant against Siddhpur Municipality: Strict action against contractor for non-payment of Rs 43.41 lakh

A sessions court in Patan has issued a seizure warrant against the Siddhpur Municipality for recovery of Rs 43.41 lakh. Strict legal action has been taken by the municipality for non-payment of dues to the contractor. The case dates back to 2016-17 when a contract was awarded to an agency to construct a railway underpass at Rishikesh Phatak in Siddhpur city. The arrears of the agency's bills were not paid by the municipality after the work was completed. The arbitration petition was filed by Chirag Manubhai Patel and Vasantbhai Narsinghbhai Barot on behalf of Ahmedabad-based petitioner PC Snehal Construction Company. Patan Court Judge A.M. Shaikh ordered the issuance of a warrant for attachment of property against the Siddhpur municipality. On April 23, 2016, an order was passed in favour of the petitioner in an arbitration petition directing the Siddhpur Municipality to pay the amount including interest and costs. According to the court order, the municipality is owed Rs 24,20,393 as principal amount, Rs 17,91,090 as 12 per cent interest and a total of Rs 43,41,983 including other expenses. The court has directed the registrar of the principal senior civil court of Siddhpur to recover the amount. In this order, it has been asked to confiscate the movable property of the Samawala (Municipality) and take legal action. Additional District Judge M.A. The order clearly states that if the Siddhpur Municipality does not pay the cost of the seizure or the amount of the proposal, the amount should be retained with it till further orders of the court. The Court has strongly urged them to send a complete report on the implementation of the Ordinance before the Court on or before the 9th July, 2026.