1 2025:CGHC:49128-DB NAFR HIGH COURT OF CHHATTISGARH AT BILASPUR WPC No. 5137 of 2025 Smt. Varsha Geedam W/o Shri Sandeep Gedam Aged About 45 Years Ex-Sarpanch, Village Panchayat, Gajmarra, Post- Bhothli, Block- Dongargarh, District- Rajnandgaon, (C.G.), R/o Village- Gajmarra, Post- Bhothli, Block- Dongargarh, District - Rajnandgaon (C.G.) ... Petitioner(s) versus 1 - State Of Chhattisgarh Through The Secretary, Panchayat And Rural Development Department, Mantralaya, Mahanadi Bhawan, Atal Nagar, Nawa Raipur, District- Raipur (C.G.) 2 - The Chief Executive Officer Jila Panchayat, Rajnandgaon, District- Rajnandgaon (C.G.) 3 - The Chief Executive Officer Janpad Panchayat, Dongargarh, District- Rajnandgaon (C.G.) ... Respondent(s) For Petitioner(s) : Mr. Keshav Dewangan, Advocate For Respondent(s) : Mr. Shashank Thakur, Dy. A.G. Hon'ble Shri Ramesh Sinha, Chief Justice Hon'ble Shri Bibhu Datta Guru, Judge Judgment on Board Per Ramesh Sinha, Chief Justice 25.09.2025 MANPREET KAUR Digitally signed by MANPREET KAUR Date: 2025.09.25 15:21:13 +0530 MANPREET KAUR Digitally signed by MANPREET KAUR Date: 2025.09.25 15:22:13 +0530 2 1) Heard Mr. Keshav Dewangan, learned counsel for the petitioner. Also heard Mr. Shashank Thakur, learned Deputy Advocate General for respondent / State. 2) The present petition has been filed seeking following relief(s): “10.1 That, this Hon'ble Court may kindly be pleased to direct the respondent authorities to consider the applications along with bills as per agreement executed between both the parties, submitted by the petitioner for disbursement of amount of work. 10.2 That, this Hon'ble Court may kindly be pleased to direct the respondent authorities to disburse the work amount with interest @ 12% from the completion of work as per agreement. 10.3 That, this Hon'ble Court may kindly be pleased to grant any other relief/relief's in favour of the petitioner, which the Hon'ble Court deemed fit & just in the facts and circumstances of the case.” 3) Brief facts of the case are that the petitioner is an Ex-Sarpanch of Village Gajmarra, Post Bhothli, District – Rajnandgaon (C.G.). She was elected to the post of Sarpanch in the year 2010 and continued to hold the said office till the year 2020. During her tenure, the State Government introduced a scheme for development of a Mini Smart City in Village Gajmarra. In furtherance of the said scheme, the petitioner, being the Sarpanch at the relevant time, executed an agreement with the authorities 3 for carrying out various developmental works under the said project. As per the terms of the agreement, 40% of the sanctioned amount was to be disbursed before commencement of the construction work, and the remaining 60% was to be released after completion of the entire work. In accordance with the said terms, the petitioner received 40% of the construction amount, commenced the work promptly, and completed it within the stipulated period. After completion of the entire work, the petitioner submitted bills along with applications for disbursement of the remaining 60% balance amount. Despite issuance of the completion certificate by the competent authority acknowledging completion of the work, the respondents, without assigning any reason, have failed to release the balance amount. On account of such inaction, the petitioner, who had executed the work from borrowed funds, is facing severe financial hardship. Several representations have been submitted to the authorities, but no action has been taken. Being left with no other efficacious remedy, the petitioner has been constrained to file the present petition. 4) Learned counsel for the petitioner submits that it is an admitted fact that the State Government, under the scheme of “Shyama Prasad Mukherjee Rurban Mission (SPMRM)” for the purpose of development of a Mini Smart City in Village Gajmarra, had issued work orders and executed an agreement dated 02.02.2019 with the petitioner, who was at the relevant time the elected Sarpanch of the said village. As per the terms of the agreement, 40% of the 4 sanctioned work amount was disbursed in advance and the remaining 60% was to be released after completion of the work. In compliance with the said terms, the petitioner, without any delay, commenced the work immediately upon receipt of the 40% advance and completed the same within the stipulated time frame in strict adherence to the conditions of the agreement. After due verification, the competent authority itself issued the completion certificate in favour of the petitioner acknowledging that the work was duly completed. However, despite such completion, the respondents, without assigning any reason whatsoever, have failed to release the balance 60% amount, which is wholly arbitrary, unreasonable, and in clear violation of the agreement dated 02.02.2019 as well as the petitioner’s fundamental rights guaranteed under Articles 14 and 16 of the Constitution of India. It is further submitted that after completion of the work, the petitioner promptly submitted the final bills for disbursement of the balance amount of Rs. 8,27,607/-, and though the respondents gave assurances that the said amount would be paid immediately, till date no such payment has been made. The petitioner, being the Ex-Sarpanch, had executed the work during her tenure and, due to non-release of the balance payment, she is facing acute financial hardship, as the work was carried out from borrowed funds which remain unpaid. The petitioner has also filed repeated representations before the authorities requesting release of the balance amount, but no action has been taken, which clearly 5 demonstrates administrative arbitrariness and deliberate inaction on the part of the respondents, thereby infringing the petitioner’s legal and fundamental rights. 5) Learned counsel for the State, per contra, submits that the present petition is misconceived and not maintainable in law, inasmuch as the petitioner, being the Ex-Sarpanch of Village Panchayat Gajmarra, cannot claim any vested right for disbursement of government funds by way of writ petition without first establishing due compliance of all requisite formalities under the scheme in question. It is contended that under the Shyama Prasad Mukherjee Rurban Mission (SPMRM), funds are released by the competent authorities strictly in accordance with guidelines issued by the State Government and subject to verification of work quality, utilization certificates, and audit reports. Mere issuance of a completion certificate does not ipso facto entitle the petitioner to automatic release of the balance amount unless the required procedure, including submission of utilization certificates, technical sanction, measurement book entries, and approval from the higher authorities, is duly completed and verified. It is further submitted that the petitioner has failed to demonstrate that all such conditions were fully satisfied, and in absence of compliance, the prayer for release of Rs. 8,27,607/- cannot be granted as a matter of right. Learned State counsel further argues that financial disbursements under such schemes are subject to budgetary allocations and availability of funds, and unless the 6 competent department sanctions the same after due scrutiny, no mandamus can be issued by this Court directing disbursement. It is also contended that the petitioner, having completed her tenure as Sarpanch, is no longer holding the office and, therefore, has no locus to pursue monetary claims in her personal capacity for works allegedly done on behalf of the Panchayat, since such rights, if any, vest with the Panchayat as a corporate entity and not with an individual. Thus, in absence of any violation of statutory provisions or infringement of fundamental rights, the petition deserves to be dismissed as devoid of merits. 6) We have heard learned counsel for the parties and considered the submissions advanced by the respective counsel. 7) Having heard learned counsel for the parties and on perusal of the record, this Court finds that though the petitioner, as Ex-Sarpanch of Village Panchayat Gajmarra, executed certain works under the Shyama Prasad Mukherjee Rurban Mission (SPMRM) and claims release of the balance 60% amount, the same cannot be directed in writ jurisdiction. Mere issuance of a completion certificate does not by itself create a right to automatic disbursement of funds unless all statutory and procedural requirements, including utilization certificates, technical approvals, audit verification and sanction of the competent authority, are fulfilled. Further, the petitioner has already demitted office and cannot, in her personal capacity, seek monetary claims which vest with the Panchayat as 7 a body corporate. Disbursement of public funds is always subject to scrutiny and budgetary sanction, and no mandamus can be issued in absence of proof of due compliance. 8) In such circumstances, this Court finds no arbitrariness on the part of the respondents, and the petition, being devoid of merit, is dismissed. Sd/- Sd/- (Bibhu Datta Guru) (Ramesh Sinha) Judge Chief Justice Manpreet