The judgment establishes the exceptional circumstances under which Look Out Circulars (LOC) can be issued, emphasizing the need for credible material and reasons to support the issuance of an LOC.

JUDGMENT :

1. The petitioner through the medium instant writ petition, has claimed certain reliefs, which are reproduced as under:

“a. That a writ of mandamus may be issued to the respondents directing them to produce the record of the Look Out Circular which has been issued against the petitioner but till date has not been served upon the petitioner.

b. That this Hon’ble Court may be pleased to quash and set aside the Look out Circular issued against the petitioner by issuing writ of certiorari.”

2. As per the case of the petitioner, an FIR bearing No. RC0042022A0005 dated 20.04.2022 for offences under Sections 5(1)(d) and 5(2) of the J&K Prevention of Corruption Act and Section 120-B of J&K RPC stands registered with respondent No. 2-Central Bureau of Investigation(CBI),. The subject matter of said FIR is the allocation of tenders in respect of construction of Kiro Hydroelectric Project in District Kishtwar. The petitioner, who happens to be the Chairman and Managing Director of Patel Engineering Company Limited is not an accused nominated in the said FIR but the company has been nominated as an accused in the FIR. According to the petitioner, M/s Patel Engineering was found lowest bidder pursuant to the bids invited for the aforesaid project and on 24.02.2020, letter of appointment was issued in favour of the company, whereafter, a contract was executed between the parties on 15.05.2021. The estimated cost of the project was Rs. 4287.59 crores and the petitioner-company was awarded contract regarding civil works at the cost of Rs. 2240.27 crores.

3. Pursuant to letter dated 23.03.2022 issued by the Government of Jammu and Kashmir, the aforesaid FIR came to be registered in which it has been alleged that in the award of civil work package of Kiro Hydroelectric Project guidelines regarding e-tendering were not followed though a decision was taken in the 47th Board Meeting of Chenab Valley Power Projects Pvt. Ltd for retender through e-tendering with reverse auction after cancellation of ongoing tender process. It is also alleged in the FIR that the tender has been finally awarded to the petitioner-company. Accordingly, a regular case has been registered against Sh. Naveen Kumar Choudhary, the then Chairman, Chenab Valley Power Project Ltd(CVPPPL), Sh. M. S. Babu, the then M. D. CVPPPL, Sh. M. K. Mittal, the then Director CVPPPL, Sh. Arun Kumar Mishra, the then Director, CVPPPL and M/s Patel Engineering Company Limited.

4. It has been pleaded by the petitioner that during the course of investigation of the case, search was conducted at head office of the M/s Patel Engineering Company Ltd on 21st of April, 2022 and on 6th July, 2021, search was conducted at the residence of the petitioner and other executives of the company. It has also been submitted that notices under Section 41-A of the Cr.P.C. were issued on 07.07.2022 by respondent No. 2 in the name of petitioner and Kavita Shirvaikar, Director to remain present for investigation in Jammu on 8th and 9th July, 2022. It has also been further submitted that another notice dated 28.12.2022 was issued by respondent No. 2 in the name of the petitioner and he was directed to depute officers named in the said notice to attend the investigation.

5. It has been pleaded by the petitioner that he along with other executives, who were summoned by respondent No. 2, visited the office of respondent No. 2 and cooperated with the investigation. They also provided the necessary documents as were sought by respondent No. 2. The petitioner has given the details of the visits made by him and the officers of company in the office of respondent No. 2, the Investigating Agency, the same are reproduced as under: