ORDER :

1. Challenge in this petition is to the legality, validity and propriety of the order dated 16.06.2021 (Annexure P/1) passed by the respondent No. 2 by which the existing Coal/Fuel Supply Agreement (for short the ‘FSA’) has been terminated with a direction to appropriate the respective performance security and disqualifying the petitioner from participating in subsequent trenches of NRS Linkage Auction conducted by the Coal India Limited (for short ‘CIL’) in perpetuity.

2. The facts, as projected by the petitioner is that the petitioner is registered company engaged in manufacture of sponge iron and MS ingots and is a MSME unit having its plant at village Sambalpuri, Hamairpur Road, Raigarh, Chhattisgarh, and it is in relation to the said end use plant, that the petitioner is in constant need of assured periodic supply of coal in order to run, manage and operate its unit. The petitioner is completely dependent upon Coal India Ltd. and its subsidiary coal companies (SCCL) in providing coal to its plant. Under the scheme of auction for providing coal linkage to a manufacturer, the latter has to register itself with the service provider identified by CIL/SCCL under the Scheme Document for Auction of Coal Linkages in the Sponge Iron Sub-sector under various tranches. The successful bidders in the auction process are issued the Letter of Intent (Lol) followed by the formal execution of Fuel Supply Agreement, which usually stands for a period of 5 year. Under the said scheme of auction for grant of coal linkage for assured supply of coal to the sponge iron plant at Raigarh (specified end use plant) run by the petitioner, the latter participated in the auction proceeding held in the year 2018 for tranche IV with a Bidder ID 103335 based upon its normative coal requirement for the plant. The bidder ID is created by the service provider and the bidder ID is basically for assisting the bidders to participate in the auction process. The petitioner being successful was issued Lols bearing Nos. 1406, 1407, 1408 and 1409, all dated 31.07.2018, and after submission of performance security, the respondent SECL executed a Fuel Supply Agreement (FSA) with the petitioner on 03.11.2018 with respect to the said four Lols. The said FSA was for a period of 5 years, to conclude on 02.11.2023. The petitioner was required to submit the bank guarantees worth Rs. 64,00,000/- There was no dispute with respect to the said FSA, and regular coal was being supplied to the petitioner. Thereafter, in December 2019, the respondents proposed to auction coal linkage in the sponge iron sub section under tranche V. In this regard, the Scheme Document 2019 was floated. The petitioner participated in the bidding process. The petitioner participated in the said bidding process and gave the details of its normative coal requirement, and furnished the details of the existing FSA and the quantity assured by SECL in its undertaking dated 16.12.2019. The petitioner participated in the auction proceeding. Unfortunately, at the time of bidding, the electronic platform on which the bidding was being conducted had certain technical glitches leading to creation of a new bidder ID No. 76730 for the petitioner. The petitioner uploaded the requisite documents including the PAN, GST registration certificates etc. belonging to the petitioner company, which remained the same as they were in Tranche IV auction. The petitioner also made full disclosure of the existing linkages held by it. There was neither any suppression nor any misrepresentation made at its end. The electronic platform managed by the service provider led to creation of a new Bidder ID, without even prompting to the petitioner as to what had happened. The normative coal requirement for the petitioner remained the same and it was in relation to the said normative coal demand that the petitioner participated in the auction proceeding after disclosing the complete facts and figures. The petitioner duly complied with