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THE GAUHATI HIGH COURT (HIGH COURT OF ASSAM, NAGALAND, MIZORAM AND ARUNACHAL PRADESH)
Kardak Ete
Satya Builders – Appellant
Versus
Northeast Frontier Railway – Respondent
JUDGMENT :
KARDAK ETE, J.
Heard Mr. P. Mehta, learned counsel for the petitioner. Also heard Mr.A. Dasgupta, learned senior counsel assisted by Mr. G. Goswami, learned counsel for the respondent NF Railway.
2. Challenge made in this writ petition is to the termination notice dated 17.12.2020 issued by the Chief Engineer/Con-4, NF Railway, Maligaon, by which, the contract (LOA) is terminated and forfeited the Earnest Money Deposit, Bank Guarantee and Performance Guarantee to the tune of Rs.3,08,93,889.65 (Rupees three crores eight lakhs nine-three thousand eight hundred and eighty nine rupees sixty-five paise) and debarring the petitioner from participation in any and all tenders and doing business for 5 (five) years.
3. The petitioner is a registered partnership firm and claims to be involved in the execution of government infrastructure projects for the last forty years and is an active participants of various tenders issued by different authorities, particularly, in the Northeastern States and also successfully executed several government projects.
4. The case of the petitioner, in brief, is that Northeast Frontier railway issued a tender notice on 14.11.2019 for the work of earthwork
The court upheld the termination of the contract and forfeiture of deposits due to submission of false credentials, but deemed the five-year debarment as excessive and quashed it.
Blacklisting a contractor without a fair hearing violates principles of natural justice, rendering such actions invalid, while the termination of the contract for non-compliance with security require....
The requirement for a fair hearing and a specific show cause notice before imposing the severe civil consequence of blacklisting, and the need for the authority to determine the period of punishment ....
Blacklisting a bidder from future contracts requires adherence to principles of natural justice, including providing notice and an opportunity to be heard.
The Petitioner's suppression of a material fact and approach to the Court with unclean hands led to the dismissal of the Petition.
Debarment or blacklisting must be proportionate to the default committed by the bidder. Proper reasons must be provided for blacklisting, and the principles of natural justice must be followed. Black....
Point of Law :Railways has rightly exercised its power under the terms of the contract, in terms of the tender clauses as well as in terms of the letter of acceptance which is treated as legal and en....
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