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2021 Supreme(Pat) 952

IN THE HIGH COURT OF JUDICATURE AT PATNA
PARTHA SARTHY, J.
Ram Naresh Rai Son of Dhupan Rai – Appellant
Versus
Union of India through the Ministry of Railway, Eastern Central Railway, Sonpur – Respondent
Civil Writ Jurisdiction Case No.5706 of 2020
Decided on : 20-09-2021

Advocates:
Advocate Appeared:
For the Appellant :M/s Rajendra Narain, Sr. Advocate Surendra Kishore Thakur, Advocate
For the Respondent:M/s P.K.Verma, Sr. Advocate Dr. Anand Kumar, Advocate

Headnote:

Government Contract – Tender – Cancellation – Written agreement had been entered into between petitioner and Railways for holding of Tehbazari for the period from 1.1.2020 to 31.12.2022 – It was a concluded contract – Same was done by Railways after taking approval of competent authority – Complaint filed against petitioner and which was enquired into in detail clearly found allegation to be baseless and having been made due to rivalry between successful bidder and one local person named in report who was instigating local shopkeepers and vendors – Railways do not allege any violation or breach of any of terms of contract – Neither action of respondents nor order impugned can be said to be reasonable – Same being unreasonable, arbitrary and in violation of principles of the natural justice, it is unsustainable in law and same is set aside – Writ application allowed. (Paras 10, 14, 16, 17 and 18)

JUDGMENT :

Heard learned senior counsel appearing for the petitioner and learned senior counsel for the Railways.

2. The petitioner has filed the instant writ application for the following reliefs:

“(i) For issuance of writ in appropriate nature for quashing of the letter dated, 19 March 2020, issued under the signature of Zonal Manager Eastern Central Railway Sonpur, whereby and where under Tender agreement Sonpur/w-5/1814 dated 6.11.2019 agreement number/214/STALLAGE (TAHBAZARI) Has been cancelled.

(ii) For direction to the respondent authorities to allow the petitioner for holding stallage (TAHBAZARI), as the petitioner is the highest bidder and was allotted said tender, and has deposited earnest amount but without calling any show cause, the respondent authority’s has cancelled the deed of agreement.

(iii) For direction to the respondent authority’s not to disturb in peaceful possession of the petitioner for holding/and collecting rent, as the petitioner has licensee and invested huge amount but just after few months his agreement has been cancelled. (iv) For any other relief or reliefs for which this Hon’ble court deem fit and proper.”

3. The case of the petitioner in brief is that a tender notice dated 5.8.2019 was issued under the signature of the Assistant Engineer Line, Sonpur inviting candidates to participate in an open tender for holding the Tahbazari fixing the date and place for open tender, for a period of two years. The petitioner being interested participated in the open tender and was declared the highest bidder. He was selected and directed to deposit the earnest amount. Accordingly the petitioner deposited the earnest amount and the deed of agreement was entered into between the Railways and the petitioner. A letter dated 20.12.2019 was issued under the signature of the Assistant Zonal Engineer Line, Sonpur informing the Station Master concerned that the petitioner being the highest bidder with the bid amount of Rs.75,01,000/, an agreement has been entered into on 18.12.2019. Information was given to all that for the period from 1.1.2020 to 31.12.2022, the petitioner has the right for holding Tahbazari over the vacant land of the Railways as described therein in Shahpur Patoree. All concerned were directed to cooperate with the petitioner in his holding the Tahbazari over the land in question. It is the case of the petitioner that pursuant to the direction he deposited a sum of Rs.16.30 lacs, however, only a few months later a letter dated 19.32020 was issued under the signature of the Divisional Rail Manager (Engineering), Sonpur, cancelling the right of Tahbazari of the petitioner, the cancellation coming in effect w.e.f. 19.2.2020. It is against this order of cancellation of holding of Tahbazari by the petitioner which is under challenge in this writ application.

4. It is submitted by learned senior counsel appearing for the petitioner that from perusal of the order impugned herein as contained in letter dated 19.3.2020 cancelling the petitioner’s right of holding Tahbazari, the only reason for cancellation of the concluded contract given there is the restriction imposed for allotment of Tahbazari vide Railway Board letter no. 2005/LML/18 dated 10.2.2005. It is submitted that from the contents of the counter affidavit filed on behalf of the Railways it transpires that there was some complaint submitted by the villagers and an enquiry was conducted by the Railways. It is submitted that the petitioner was not given any information with respect to the complaint and the so-called enquiry was conducted behind his back. Not having found anything lacking on part of the petitioner nor anything adverse having transpired in the enquiry conducted, the respondent Railways were now relying on the restriction imposed for allotment of Tahbazari as far back as in February, 2005, inspite of the fact that the Tahbazari in q

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