The court found that the contract was capable of being specifically performed, and the termination was wrongful and illegal. It restrained the respondent from terminating the contract and directed them to co-operate with the petitioner.

1. The river Hooghly, while flowing down the plains of Bengal towards the sea, has branched out, upstream of Chuchura in the Hooghly District, to form a beautiful island in the middle of the river, measuring about 75 acres. It is called “Sabuj Dweep”. It has trees and plants of many kinds and recreational facilities which attract thousands of tourists over the year. The land belongs to the Department of Tourism, Government of West Bengal. This department conceived of the idea of developing the island into a ecotourism resort. On 14th August, 2015 it entered into a contract with the petitioner which was described as a “concession agreement”. The petitioner was entrusted with the construction and development of a “project”, according to the plans, designs and project report prepared by the respondent, taking all the approvals, permits etc. and by complying with the laws so as to ensure “bio-diversity”. It was for 32 years to be renewed for a further period of 32 years. The petitioner was required to make an initial payment of Rs. 70 lakhs followed by an annual fee.

2. This application under Section 9 of the Arbitration and Conciliation Act, 1996 has been made further to an arbitration clause in the agreement. The petition is in two volumes. All the papers that would have been necessary to dispose of the Section 9 application are included in the petition. Extensive arguments have been made. I propose to dispose of this application, on these papers without inviting affidavits. It goes without saying that the allegations made in the petition, are denied by the respondent.

3. We have to take our starting point as 8th March, 2017. On that day the Principal Secretary Tourism Department wrote to the Managing Director of the petitioner telling him that his government had invested more than Rs. 9 crores in the project. They had set up the jetty, built roads made available drinking water and power supply to the island. It blamed the petitioner for not starting the work on time and for the delay in proceeding with it. What is most important is that the Principal Secretary granted the petitioner six months’ time to complete some “pin pointed few basic components” of the project, mentioned in the annexure to the letter. In this annexure the following works were specified:

“1. The entire place has to be divided into 2 segments (i) Picnic spot on the right side (ii) Cottage on the left side

2. Two/Three common wash room. 3. 20 double bedded room with a dormitory facility separately. 4. Food court for bit high end in segment-(ii) & day to day food court in segment—(i) 5. Two watch towers 6. Proper landscaping 7. Display of local hand crafts with artisans. 8. Swimming pool for segment—(ii) 9. Games for both side.10. New vessel for carry vehicles with jetty in segment—(ii) 11. Path way. 12. Generator facility. 13. Signage on high way 14. Cultural activities area. 15. Parking place for vehicle arriving in island in segment—(ii). 15. Eco friendly vehicle for access to cottage from jetty in segment—(ii) 16. Battery operated car for joy rode. 17. CCTV.”

4. The petitioner replied to this letter on 12th April, 2017 by expressing their commitment to finish the seventeen items mentioned in the above annexure by 31st August, 2017. They added that they had started the construction of double bedded wooden cottages. They also said that an item wise schedule was attached to the letter but I do not find any such schedule. On 29th May, 2017 the petitioner reported to the Secretary of the Tourism Department that the work was progressing in accordance with the schedule submitted on 12th April, 2017. This time a progress chart was attached to the letter. According to this chart construction of two jetties on the main island, improvement of 1.5 kilometres of PWD road from Somra Bazar Station, Sukhriya Ghat at Hooghly were completed. Some other works were shown to be partly completed.

5. Suddenly on 8th June, 2017 a show cause notice was issued by the Director o