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IN THE HIGH COURT OF DELHI
Sanjeev Sachdeva, J.
Rapid Constructions - Appellant
Versus
South Delhi Municipal Corporation - Respondent
W.P(C) 4730 of 2022 & CM Appl. 14157 of 2022
Decided On : 25-03-2022
JUDGMENT
Sanjeev Sachdeva, J. (ORAL)--Petitioner impugns circular dated 17.02.2022 informing the petitioner that the competent authority by order dated 03.02.2022 has decided to debar the petitioner for a period of two years from participation in any bid/tender of the respondent South Delhi Municipal Corporation.
2. Learned counsel for the petitioner submits that no show cause notice was issued to the petitioner prior to issuance of the alleged order dated 03.02.2022 or the impugned circular dated 17.02.2022. He further submits that copy of the order dated 03.02.2022 has not even served on the petitioner.
3. Learned counsel for the respondent disputes the same.
4. Learned counsel for respondent submits that the competent authority was constrained to pass the order in view of the conduct of the petitioner.
5. He without prejudice submits that in view of the technical objection taken by the petitioner that no show cause notice was issued prior to passing of the debarment order, the competent authority has decided to revoke the debarment order reserving the right of the Corporation to issue a show cause notice to the petitioner and then to pass a fresh order in accordance with law.
6. In view of the above, the order dated 03.02.2022 and the circular dated 17.02.2022 is set aside. This would be without prejudice to the right of the respondent to issue a show cause notice to the petitioner for any alleged infraction. Respondent shall dispose of the show cause notice in accordance with law. All rights and contentions of parties are reserved.
7. It is clarified that this Court has neither considered nor commented upon the merits of the contention of either party.
The lack of a show cause notice before debarment violates principles of natural justice, necessitating revocation of the order.
Procedural fairness mandates that a practitioner must receive proper notice and an opportunity for a personal hearing before penalties are imposed.
The legal principle established is that prior to blacklisting or debarment, a show cause notice is mandatory, and debarment issued without notice and during the pandemic period is untenable.
Practice and Procedure - Show-cause notice - Violation of policy/guidelines/ provisions of MPD 2021 - Whether petitioners were served with a show-cause notice by pasting or not - Admittedly the notic....
Revocation of a building plan requires proper service of notice, adhering to principles of natural justice and giving opportunity to respond.
The severity of the effects of blacklisting and the resultant need for strict observance of the principles of natural justice before passing an order of blacklisting.
The court reaffirmed the requirement of notice and opportunity for a hearing before punitive actions such as blacklisting can be imposed, upholding the principles of natural justice.
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