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2023 Supreme(Gau) 1198

IN THE GAUHATI HIGH COURT (HIGH COURT OF ASSAM, NAGALAND, MIZORAM AND ARUNACHAL PRADESH)
DEVASHIS BARUAH, J.
M/s. Riu Enterprise a partnership firm duly rep. By one of its partner Sri Bhaskar J. Gogoi, Son Of Sri Bolu Ram Gogoi – Appellant
Versus
The Indian Oil Corporation Ltd. And Ors. – Respondents
WP(C) 5380 of 2019
Decided on : 23-08-2023

Advocates:
Advocate Appeared:
For the Appellant :Mr. S. Borthakur, Advocate
For the Respondent:Mr. K. Kalita, Advocate:Ms. G. Swami, Advocate

The procedural fairness and reasonableness of the actions cannot be called into question as due opportunity was given to the Petitioner.

Headnote:

Blacklisting - Violation of Principles of Natural Justice - Oil Industry Transport Discipline Guidelines (OITDG) - Clause 8.1 a (i) and Clause 8.2.2.8 - [Clause 4.2(g), Clause 8.2.2.8] - The court dismissed the writ petition challenging the blacklisting order, finding that the procedural fairness and reasonableness of the actions cannot be called into question as due opportunity was given to the Petitioner. The Petitioner failed to justify the findings of the report and show that the followed procedure infringed upon the core right to a fair and reasonable hearing.

Fact of the Case:

The Petitioner was blacklisted by the Indian Oil Corporation Ltd. for 2 years due to water content found in the oil tanker, following a show cause notice and investigation.

Finding of the Court:

The court found that the procedural fairness and reasonableness of the actions cannot be called into question as due opportunity was given to the Petitioner.

Issues: Violation of Principles of Natural Justice, Procedural Fairness, Reasonableness of Actions

Ratio Decidendi: The Petitioner failed to justify the findings of the report and show that the followed procedure infringed upon the core right to a fair and reasonable hearing.

Final Decision: The court dismissed the writ petition challenging the blacklisting order and vacated the interim order.

JUDGMENT :

1. The instant writ petition has been filed by the Petitioner challenging the order dated 03.07.2019 whereby the Respondent i.e. Indian Oil Corporation Ltd. had blacklisted the Petitioner along with its crew for 2 (two) years w.e.f. 03.07.2019 under Clause 8.1 a (i) and Clause 8.2.2.8 of Oil Industry Transport Discipline Guidelines (OITDG).

2. The facts involved in the instant case is that a show cause notice was issued to the Petitioner on 11.05.2019 thereby asking the Petitioner to show cause within 15 days as to why the Petitioner should not be placed in the “Holiday List” and be debarred from entering into any contracts with Indian Oil Corporation Ltd./be not de-listed from the list of approved Vendors/Contractors of Indian Oil Corporation Ltd. The reason for issuance of the show cause notice was that on 09.05.2019, SRN TTL No.NL02Q5450 entered Digboi Refinery for unloading the SRN which was dispatched from Guwahati Refinery on 20.04.2019. During routine checking of the vehicle, high quantity of water was observed on the top platform/box. The vehicle was detained and subsequently checked in presence of the driver on the next day i.e. on 10.05.2019. Upon checking again on 10.05.2019 with Dip Rod and it was found in the TTL (Tank Truck Loading) chambers that there was water content in Chamber No.1, 2 and 5. It was further mentioned in the said show cause notice that the Petitioner was given the liberty to submit all supporting documents upon which the Petitioner would like to rely upon and if the Petitioner failed to submit the reply, it would be presumed that the Petitioner had nothing to say.

3. Thereupon on 14.05.2019, a reply was submitted by one of the partners of the Petitioner. In the said reply, there was no denial to the fact that there was no water in the chambers which was found on physical verification. But the reason assigned therein in the reply was that on account of Cyclone Fani, a large amount of rain water got accumulated in the inside of the dome covered box and as the drain outlet of the dome covered box was not working due to blockage, a considerable amount of water got leaked in the three Chambers of the oil tanker through the gas hole resulting in water spillage. It was further mentioned in the said reply that as per the information given to the partner of the petitioner by the driver, the said was not intentional or deliberate but resulted due to circumstances beyond the control and comprehension.

4. Pursuant thereto, it reveals from the records that a Committee was set up to investigate the matter. The Committee which was set up submitted a report on physical checking of the vehicle on 25.05.2019. It appears from a perusal of the report dated 25.05.2019 enclosed as Annexure-R4 to the affidavit-in-opposition filed by the Respondent IOCL that the physical verification was carried out by various personals in the presence of the representative of the Petitioner. The said report which was submitted had further confirmed that there was water content in Chamber 1 and 2 as well as in the Chamber 5 which was also there in the show cause notice. However from the said report dated 25.05.2019, it transpires that the water content in Chamber No.1 was 15.7 cm which was otherwise 15.5 cm in the Show cause; in Chamber No.2, it was 3.0 cm which was 2.0 cm in the show cause and in Chamber No.5, it was 3.0 cm which was 2.0 cm in the show cause notice. It was also opined in the said report that the weight of the vehicle before draining of the water from inside of the Chamber was 29.770 MT and the weight of the vehicle after draining of the water from inside of the chamber was 29.440 MT. In Clause 9 of the said report, it was observed that the test results of Guwahati Refinery and the Digboi Refinery were not matching and for which a detailed analysis and report was directed to be submitted by the Committee shortly. Thereupon, the said Committee submitted a report on 30.05.2019. The conclusions so mentioned in the

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