IMPORTANT POINT
The competent authority's certification should adhere to the requirements of the contract clause, and additional information in a certificate should be considered superfluous. Observations in a performance certificate should not affect the issuance of a completion certificate.

JUDGMENT :

T.S. SIVAGNANAM, J.

1. This intra-Court appeal is preferred by the Steel Authority of India Limited and others, who were the respondents in W.P.A. 18564 of 2023 being aggrieved by the order and direction dated 12th October, 2023. issued in the writ petition.

2. We have elaborately heard Mr. Sarathi Dasgupta, learned advocate appearing for the appellants and Mr. Kishore Datta, learned senior advocate appearing for the respondent/writ petitioner. Though the facts are shown to be very complicated, the dispute lies in a very narrow campus.

3. The respondent/writ petitioner was awarded a contract by the Steel Authority of India Limited (SAIL). By a letter dated 1st June, 2023, the writ petitioner sought for a completion certificate. This completion certificate has been sought for in terms of clause 9.8 of the General Conditions of Contract entered into between the appellants and the respondent/writ petitioner. For better appreciation, clause 9.8 is quoted below:

“Certificate completion of work

9.8 As soon as in the opinion of the Engineer the Works shall have been virtually completed, the Engineer shall on receiving a written undertaking by the Contractor to finish any outstanding work during he period of maintenance issue of a Certificate of Virtual Completion in respect of the Works and the period of Maintenance of the Works shall commence from the date of such certificates Provided that Engineer may give such a certificate with respect to any substantial part of the Works which has been both completed to the satisfaction of the Engineer and occupied or used by the Employer as and when any such certificate is given in respect of a part of the Works such part shall be considered as completed and the period of Maintenance of such part shall commence from the date of such certificate, provided that always a certificate of Virtual Completion given in accordance with the foregoing provisions of and part of the works occupied and use as aforesaid shall not be deemed to certify completion of any ground or surfaces requiring reimbursement unless such certificate shall expressly so state.”

4. As could be seen from the above clause, it is the Engineer of the Works concerned shall be empowered to give a completion certificate when the work has been virtually completed on receiving a written undertaking by the Contractor to finish any outstanding work during the period of maintenance issue of a Certificate of Virtual Completion in respect of the works and the period of maintenance of the Works shall commence from the date of such certificate, provided the Engineer may give such a certificate with respect to any substantial part of the work, which has been completed to the satisfaction of the Engineer and can be used by the employer. There are other stipulations contained in clause 9.8.

5. As noted above, by a letter dated 1st June, 2023, the appellants requested for a completion certificate and release of the bank guarantee in view of the completion of the work.

6. The appellants have drawn a certificate titled “TO WHOMSOEVER IT MAY CONCERN” dated 21st June, 2023. In paragraph 1 of the said certificate, it is stated that as per their Consortium Agreement, the performance certificate is being issued @ 97.2% of contract value to the writ petitioner and 2.8% of contract value to other consortium member. The writ petitioner was aggrieved on account of paragraphs 4, 5 and 6 as mentioned in the certificate. In the last line of the certificate it is stated that it is a performance certificate and it has been issued on specific request by the writ petitioner vide letter dated 1st June, 2023.

7. As pointed out above, the request dated 1st June, 2023, is not for a performance certificate but for a completion certificate in terms of clause 9.8 of the General Terms and Conditions. Therefore, the appellants could not have included other information, which is not required to be disclosed or mentioned in a completion certificate to be drawn in terms of c