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IN THE HIGH COURT OF JUDICATURE AT BOMBAY, NAGPUR BENCH, NAGPUR
NITIN W. SAMBRE, MRS.VRUSHALI V.JOSHI, JJ.
Arunodaya Coal Agency, Through its Proprietor Koshor Sankhala – Appellant
Versus
Western Coalfields Ltd., Through its Chairman and Managing Director (CMD), Coal Estate, Civil Lines, Nagpur – Respondent
JUDGMENT :
(PER : NITIN W. SAMBRE , J.)
RULE. Rule made returnable forthwith and the writ petition is heard finally with consent of the learned counsel for the parties.
2. The petitioner has questioned the impugned decision dated September 26, 2024 whereby the contract dated May 02, 2022 for transportation of coal so also for removal of overburden came to be terminated. The petitioner is also debarred from participating in the future tenders of the Western Coalfields Limited in individual capacity or as partner in partnership firm or Joint Venture for a period of two years from the date of issuance of the impugned order as per the terms and conditions of the contract. The petitioner’s security deposit, performance guarantee and additional performance security at the disposal of the respondents also came to be forfeited.
3. The facts necessary for deciding the writ petition are as under:-
The petitioner is a proprietary concern, claiming to be registered as a small scale enterprise under the Micro, Small, Medium Enterprise Act on on October 09, 2023. The respondent-Western Coalfields Limited, is a company registered under the Indian Companies Act, 1956 entered into an agreement/contract
The contractor is responsible for preventing theft and complying with contract terms; failure to do so justifies termination of the contract.
The obligation of the state to act fairly and reasonably in contractual disputes, and the importance of respecting the specific terms of a contract.
The power of judicial review is not normally exercised in contractual obligations, and parties may be relegated to adjudication of their rights by resorting to remedies provided for adjudication of p....
Corporation must evolve a mechanism for testing of veracity and validity of order passed by lowest or lower authority/officer by higher authority/officer with adherence of norms of Natural Justice.
The judgment establishes that the exercise of unfettered discretion by the Authorities, without complying with the Principles of Natural Justice, renders their decision illegal and subject to judicia....
Justification for issuing the impugned order cannot be permitted to be raised in the counter affidavit.
The court emphasized the necessity for timely action regarding seized property and the obligation of the learned C.J.M. to follow statutory provisions for disposal post-trial.
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