IN THE HIGH COURT OF JUDICATURE AT PATNA
Anil Kumar Sinha, J.
Anand Mishra Constructions Pvt Ltd - Appellant
Versus
The State Of Bihar & Ors. - Respondent
Civil Writ Jurisdiction Case No. 12520 of 2021
Decided On : 31-08-2021
Bihar Contractor Registration Rules, 2007 – Rule 11 – Debarment from participating in future contract/tender – Impugned order has been passed on the basis of some recommendation made by Executive Engineers to Engineer in Chief – Impugned order also does not show that a show cause/notice was ever issued by Engineer in Chief to petitioner before arriving at decision to debar petitioner from participating in future contract/tender – Show cause notice, giving opportunity to petitioner to defend before taking a decision to debar and blacklist it, has not been given by Engineer in Chief which is a mandatory requirement of law, particularly so, in decisions relating to blacklisting/debarring which entail grave consequences for entity being blacklisted/debarred – As such, impugned order of debarment passed by Engineer-in-Chief, Rural Works Department, Government of Bihar, is contrary to principle of natural justice – Impugned order of debarment set aside. (Paras 10 to 12)
JUDGMENT
1. The present writ application has been filed for quashing the letter no. 1894, dated 02.07.2021, issued by the Engineer-in-chief, Rural Works Department, Government of Bihar (Annexure 3), by which the petitioner has been debarred from participating in future contract/tender, for the reason of non-completion of the contract of construction of road, awarded to the petitioner, within time.
2. The fact involved in the present case is that the petitioner is a Class-I contractor, registered under the provisions of the Bihar Contractor Registration Rules, 2007 and was awarded various contract works by the respondent-Rural Works Department, for construction of road and according to the petitioner, it proceeded to complete the work as per the agreement, but due to intervening COVID-19 pandemic, which led to lockdown and imposition of various restrictions by the Government, the petitioner faced difficulties in timely completing the work. Further contention of the petitioner is that while the work was being executed, despite delay due to the lockdown and COVID-19 pandemic, yet prior to completion date, the respondent-Executive Engineer, Rural Works Department, Work Division, Gopalganj-I, vide letter no. 1183, dated 14.06.2021, took a unilateral decision and recommended for debarment of the petitioner due to non-completion of awarded contract work within time. Accordingly, the petitioner, vide his letters, dated 18.06.2021 and 19.06.2021, represented before the respondents-Executive Engineer, Rural Works Department, Work Division, Hathua and the respondent-Executive Engineer, Rural Works Department, Work Division, Gopalganj-I, that the petitioner suffered delay due to COVID-19 pandemic and due to extreme rainfall, which led to the water logging at the construction site and requested for extension of time till October, 2021 (Annexures 4 and 4A).
3. Taking into consideration the representations of the petitioner, the respondent-Executive Engineer, Rural Works Department, Work Division, Gopalganj-I, vide his letter, dated 21.06.2021 (Annexure 5), informed the Superintendent Engineer, Rural Works Department, Work Division, Siwan, that the Department has granted extension of time to the contractors for 90 days due to COVID-19 pandemic and lockdown. Further, before the expiry of said 90 days extended period given to the contractors by the Department, the respondent no. 3-Engineer-in-Chief, Rural Works Department, Government of Bihar, vide letter no. 1894, dated 02.07.2021, has passed the impugned order debarring the petitioner from participating in future contract/tender. The respondent no. 3-Engineer-in-Chief, Rural Works Department, Government of Bihar, before passing the order of debarment of the petitioner did not issue any notice/show cause, as such, according to the petitioner, the impugned order was passed in violation of principle of natural justice and is completely arbitrary.
4. A counter affidavit has been filed by the respondents, stating therein that the petitioner was awarded contract for construction of road, which were required to be completed within fixed time period, the details of which are mentioned in paragraph 5 of the counter affidavit, but the petitioner failed to complete the construction work within the stipulated time, for which various letters were issued to the petitioner. It has further been stated by the respondents that the petitioner did not comply the direction issued by the Department and failed to show any interest in the completion of the contract work, as such, the respondent-Executive Engineer, Rural Works Department, Work Division, Hathua, vide his letter no. 626, dated 28.05.2021, issued a show cause to the petitioner as to why the recommendation be not made to the competent authority to rescind the agreement and to blacklist the petitioner, with a direction to submit a reply thereof, but the petitioner did not respond to the aforesaid show cause. Similar show cause was also issued by the responde
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