Markandeya Katju, C.J.

1. This writ petition has been filed for a direction that the respondent No.1, the Indian Railway Catering & Tourism Corporation Ltd be directed not to deviate from the terms of the tender and general conditions of the licence in awarding the contract to operate and manage on board catering services on Train No. 3351-52 to respondent No.3.

2. As stated in para 4 of the writ petition, the respondent No. 1 advertised in the National Newspapers on 27.6.2005 inviting bids in sealed cover for operation and management of catering and onboard services on as many as 22 trains including the train No. 3351-52, Dhanbad/Tata-Alleppy Express (herein after referred to as the "train"). A true copy of the advertisement is annexure P1 to the writ petition.

3. The petitioner submitted its bid within time in response to the said advertisement Clause 5.2 of the general conditions of licence stated that the licence to manage catering services will normally be awarded to the party quoting the highest amount of licence fee subject to fulfillment of the terms and conditions of the licence.

4. Clause 7.1 & 7.2 of the same state as under:"

7.1 Acceptance of award of Licence and submission of Security Deposit: Successful parties would be given 7 (seven) days time, or less time as the case may be: from the date of issue of the letter of award of Licence for payment of the Security Deposit and the first installment of Licence fee and to convey his acceptance of award of Licence. In case the Licensee fails to accept the offer of award of Licence, the Licensee shall be debarred from participating in the future projects of IRECTC for a period of one year."

7.2 Submission of Licence Fee/Security Deposit:

The Licensee shall deposit the Licence Fee as intimated by IRCTC within the stipulated period and Licensee would be allowed 15 (fifteen) days or less time as advised by IRCTC, from the date of issue of letter for award of Licence, to provide on board and catering services in train."

5. It is alleged in para 4 (xiv) of the petition that the respondent No.3 M/s Ambuja Hotel & Real Estate Pvt. Ltd. was the highest bidder and was directed to deposit the security money and the licence fee within the time stipulated in the letter of award. However, respondent No.3 failed to deposit the security money arid licence fee till 10.11.2005, even after having been• granted several opportunities to deposit the same. It is alleged that respondent No.3 had earlier defaulted in depositing the security money and licence/concession fee with respect to train No. 2429-30, letter of award for which had been issued to respondent No.3 earlier.

6. Clause 5.5 of the general conditions prescribed that a successful bidder will be debarred from participating in the bidding process of future projects of respondent No. 1 for a period of one year if he refuses to accept the offer of award of licence. It is alleged that respondent No.3 having defaulted once was liable to be debarred from participating in future projects of the IRCTC for a period of one year and in the instant case was debarred from bidding for the train in question i.e. 3351-3352 as well.

7. Clause 4 of the letter issued by respondent No.1 to respondent No. 3 dated 10.11.2005 makes it clear that respondent No. 3 had sought extension of time to deposit the amount by 20.11.2005 and the respondent No.1, in response, has directed the respondent No.3 to first accept the award of licences in respect of train Nos. 2429-2430 and 3351-3352 along with payment of security deposit latest by 14.11.2005 and the licence/concession fee by 20.11.2005. It is alleged that this leads to an inevitable conclusion that in the matter of award of licence to the respondent No.3, the respondent No.1 by granting extension time and again has violated clause 7.1 of the general conditions of the tender. True copy of the letter dated 10.11.2005 is annexure P3 to the writ petition,

8. The petitioner requested the respondent No.1 to re