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2021 Supreme(J&K) 510

IN THE HIGH COURT OF JAMMU & KASHMIR AND LADAKH AT JAMMU
Tashi Rabstan, J.
M/s. Bhardwaj Agencies – Petitioner
Versus
J and K Medical Supplies Corporation Ltd. Jammu and Ors. – Respondents
WP(C) No.2408/2021 and CM(8389/2021)
Decided On : 24-12-2021

Advocates:
Advocate Appeared:
For the Petitioner:Mr. Navyug Sethi, Advocate
For the Respondent: Mr. H.A. Siddiqui, Sr. AAG

Headnote:

Government Contract-Black-listing-Fair opportunity would require that petitioner is served with verification report and other material, relied upon by respondents in blacklisting petitioner-Petitioner was not provided with report of Verification Committee nor was any other material provided to it-A fair hearing gives a sense of satisfaction and reposes trust of public in process of law- Necessity of compliance with principles of natural justice, by giving opportunity to a person against whom action of blacklisting is sought to be taken, has a valid and solid rationale behind it-With blacklisting, many civil and/or evil consequences follow-It is described as "civil death" of a person who is foisted with order of blacklisting-Such an order is stigmatic in nature and debars such a person from participating in Government Tenders which means precluding him from award of Government contracts and consequently denuded of right to life. (Paras 7 and 9)

Result-Petition allowed.

JUDGMENT :

Tashi Rabstan, J.-Instant petition has been filed by the petitioner-firm through its Proprietor seeking quashment of Order No.28 dated 13.10.2021 issued by the respondent No.2, whereby the petitioner has been debarred/blacklisted from J&K Medical Supplies Corporation Ltd. for a period of two years, with a further direction to respondents to allow the petitioner-firm to participate in the tendering process for finalization of rate contract for procurement of medicines and medical equipment without any hindrance, obstruction or interruption.

2. Briefly, facts leading to filing of the present writ petition are that petitioner is a firm dealing with surgical, pharmaceutical, medical equipments, lab. kits, physiotherapy, hospital furniture and machinery. The petitioner-firm is duly registered with the J&K Medical Supplies Corporation Ltd. Respondents issued e-bid for finalization of rate contract for supply of “Anti Viral and other medicines related to Covid-19” bearing reference No. JKMSCL/Anti-Viral Medicines/2021/458 dated 03.04.2021. The petitioner being fully eligible in terms of the aforesaid e-bid notification, participated in the finalization of rate contract after depositing fee of Rs.10,000/- and submitted his e-bid on 16.04.2021 after the petitioner having been authorized by M/s Protect Telelinks to submit the bid, process the same further, to raise invoice, enter into a tripartite contract with the respondent No.1 as per the requirements and to receive payments in reference to aforesaid e-bid. The authorization was duly given in favour of the petitioner firm by Mr. Madan Mohan authorized signatory of M/s Azzurra Pharamconutrtion who was empowered by Protect Telelinks to quote manufacturing products in all the institutes in domestic market for Government/PSUs/Private Hospitals vide authorization dated 22.01.2021. Soon after submission of e-bid by petitioner, the respondent No.3 issued communication dated 15.05.2021 to the petitioner stating therein that M/s Protech Telelinks vide letter 06.05.2021 have intimated that the petitioner has given fake authority letter on its behalf in the aforesaid tendering process and asked to submit a reply within a period of two days, i.e., by 17.05.20221. It is pertinent to mention that letter of Protech Telelinks dated 06.05.2021 was not enclosed with the said communication dated 15.05.2021 and also in view of the lockdown/restrictions imposed due to the second wave of Covid-19 pandemic, the petitioner was not in a position to submit proper reply and as such sought extension of time in submission of the reply vide his letter dated 17.05.2021. On 27.07.2021, the respondent No.4 issued show cause notice bearing No.JKMSCL/Adm/2073-78 dated 27.07.2021 by virtue of which the petitioner was called upon to explain his position as to why action warranted under Clause 36 of Annexure-B (terms and conditions of bid and rate contract) and Policy of HJMSCL may not be initiated against him. The petitioner on receipt of aforesaid show cause notice contacted Mr. Madan Mohan, authorized signatory of M/s Azzurra Pharamconutrition who is authorized representative of M/s Protech Telelinks to clarify the issue as to why the petitioner was being unnecessarily harassed by the respondents and as to why authority letter issued to him is being disputed. Upon this, M/s Protech Telelinks issued a letter dated 29.07.2021 to the respondent No.2 in which it was clarified that the petitioner is authentic dealer who has been authorized by one of the authorized persons of the company. The aforesaid letter dated 29.07.2021 was also sent to the petitioner by proprietor of M/s Azzurra Pharamconutrition through WhatsApp on 29.07.2021 itself. However, the petitioner being extra cautious demanded that the said communication dated 29.07.2021 be addressed to him directly by M/s Protech Tellinks in order to avoid any further complications or misunderstanding in future. Upon this, said communication was sent by Mr. Raj

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