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PURUSHAINDRA KUMAR KAURAV
National Highways Builders Federation Through Its Authorized Representative – Appellant
Versus
Union of India Through Its Secretary, Ministry of Road, Transport And Highways – Respondent
JUDGMENT
Purushaindra Kumar Kaurav, J. (Oral)--This petition seeks to challenge the Impugned Office Memorandum dated 18.08.2022 (Impugned OM) passed by respondent No.1, i.e. Union of India.
2. The petitioner No.1 is a registered society of builders and contractors of national highways, state highways and bridges in the organised sector all over the country. The petitioner No.1 body comprises of 87 members, list thereof, has been placed on record. It is the petitioners' case that respondent No. 1/UOI and 3 i.e. National Highways Authority of India ("NHAI") have started initiating proceedings for debarment against them pursuant to the impugned OM. Respondent No.3 had issued a Show Cause Notice ("SCN") dated 30.08.2022 to petitioner No.2 i.e. GHV (India) Pvt. Ltd. seeking to initiate debarment proceedings on account of registration of case by Central Bureau of Investigation ("CBI") against employees of Petitioner No.2 under the Prevention of Corruption Act, 1988 and Indian Penal Code, 1860. The petitioners therefore, not only challenged the SCN but also challenged the legality of the impugned OM. For the sake of clarity, the reliefs prayed for by the petitioners are being reproduced a
The main legal point established in the judgment is the requirement of 'enough material' to proceed with debarment, emphasizing integrity and transparency in public procurement.
The gravity of the offence and its impact on the organization's operations and reputation are relevant factors in determining the duration of debarment.
Debarment orders must be communicated and reasoned to uphold principles of natural justice; lack of such communication invalidates the debarment.
The main legal point established in the judgment is the requirement for specific reasoning for debarment, the principles of debarment under GFR, 2017 Rule 151, and the balance of interests between th....
No order of debarment can be made against a party without first issuing a specific show cause notice, ensuring compliance with the principles of natural justice.
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