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2001 Supreme(SC) 1225

B.N.AGARWAL, V.N.KHARE
Grosons Pharmaceuticals Private – Appellant
Versus
State Of U. P. – Respondent


JUDGMENT

V.N. Khare, J.-The appellant herein is a small scale industry engaged in manufacture and sale of drugs and was registered with the Directorate of Industry (Stores Purchase Section), Kanpur, U.P. As a result of the aforesaid registration, the appellant was an approved contractor for supply of drugs to the government departments. The appellant, in pursuance thereof, had been supplying drugs to the U.P. Government. It appears that that certain irregularities came to the notice of the government in purchase of medicines and, therefore, a vigilance inquiry was set up as a result of which the record and product of the appellant were seized. Further, criminal prosecution was also launched against the appellant under provisions of Prevention of Corruption Act read with Section 120 IPC. Under such circumstances, the State Government served a notice on the appellant to show cause why it should not be blacklisted in its dealing with the government. It appears that the appellant sent a reply to the show cause notice. The State Government on expiry of the period for reply by the appellant passed an order blacklisting the appellant. The order indicated that the period of blacklisting wil





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