NIT pays up, petrol pump withdraws case
Source: The Sangai Express
Imphal, December 04 2019:
A petrol pump, M/S Heirangoithong Service Station has withdrawn a law suit filed against National Institute of Technology, Manipur as the latter finally sent a cheque of Rs 1,63, 714, owed for buying fuel on credit from the said petrol pump.
The large amount of money piled up as NIT failed to pay for the fuel procured on credit from the pump over a period of more than a year.
Apart from creating huge inconveniences in the business matters of the people who are running petrol pumps, such incidents are becoming a main cause for the petrol pump owners becoming paranoid when giving petrol and diesel to Government institutions on credit, said a source from the pump.
According to the source from M/S Heirangoithong Service Station, NIT Manipur deposited a sum of Rs 50,000 to the petrol station on April 9, 2013 and began taking the necessary fuel.
Pointing out that the station also supplied fuel on credit to the institution based on mutual trust, the source continued that by April 23 last year, NIT Manipur owed nearly Rs 1,63, 713.65 to the station for procuring petrol and diesel on credit.
When the station demanded the institute to pay the debt, NIT failed to do so and as such, the station stopped giving fuel to the institution on credit as well.
After the institute failed to pay the money even after 3/4 letters were sent, the station decided to take the matter to the High Court.
The source then informed that during the period of the trial, on November 6 this year, NIT Manipur sent a cheque of Rs 1,63,714 to M/S Heirangoithong Service Station and added that following this, the service station decided to withdraw the case today.