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IN THE HIGH COURT OF ORISSA AT CUTTACK
B.R.SARANGI, MURAHARI SRI RAMAN
Ecometrix Consultants Pvt. Ltd. – Appellant
Versus
Bhubaneswar Development Authority, BBSR – Respondent
| Table of Content |
|---|
| 1. background of the petitioners and the rfp process. (Para 1 , 2) |
| 2. petitioner argues against arbitrary cancellation and blacklisting. (Para 3 , 4) |
| 3. court reviews procedural fairness and principles of natural justice. (Para 5 , 6 , 7 , 8) |
| 4. natural justice principles in administrative actions. (Para 9 , 19) |
| 5. court emphasizes need for proportionality in administrative actions. (Para 25 , 26 , 27 , 28) |
| 6. court discusses necessity of show cause notice prior to blacklisting. (Para 31 , 33) |
| 7. court quashes illegal blacklisting and restores contract. (Para 34) |
Judgment :
DR. B.R. SARANGI, J.
M/s Ecometrix Consultants Pvt. Ltd., a company registered under the Companies Act, 2013, as petitioner no.1, and the Manager (Finance) of the said company, as petitioner no.2, have filed this writ petition seeking to quash the letter dated 21.10.2022 under Annexure-5, by which the Letter of Award for selection of Survey Agency issued in favour of the petitioner no.1- company, vide letter dated 13.09.2022, has been cancelled/terminated, since petitioner no.1-company failed to fulfill the terms and conditions, as mentioned in sl. nos.3 and 4 of the above Letter of Award along with the c
Blacklisting without notice constitutes a violation of the principles of natural justice, requiring fair opportunity for the affected party to present their case.
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 ....
The Petitioner's suppression of a material fact and approach to the Court with unclean hands led to the dismissal of the Petition.
The main legal point established in the judgment is the requirement for a fair hearing, specific show cause notices, and proportionate punishment before imposing blacklisting in government contracts.
Point of Law : Blacklisting is an 'instrument of coercion' which has the effect of creating a disability. Usually, when participating in a tender, the bidder is required to furnish a statement undert....
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