S.J.VAZIFDAR, AVNEESH JHINGAN
Sukhdev Singh and Co. – Appellant
Versus
Food Corporation of India – Respondent
S.J. VAZIFDAR, J.
The petitioners have challenged an order dated 19/20.09.2017 terminating the Labour Handling Contract awarded to them; forfeiting the earnest money deposited by the petitioners and blacklisting the petitioners for five years.
2. Respondent Nos. 2 to 5 are officers of the first respondent. Respondent No. 6 is the private respondent in whose favour the work has now been awarded pursuant to the termination of the contract with the petitioners.
3. The official respondents issued tenders for the appointment of Handling Contractors. By a letter dated 24.04.2017, the petitioners were informed that their quotation had been accepted for the period upto 03.08.2018. The petitioners were called upon to deposit Rs. 19,52,200/- as security together with the performance guarantee. The letter also stated that the petitioners had the option to deposit 50 per cent security in lump sum and the balance by deduction at 10 per cent from each admitted bill against the contract and that the petitioners could get adjusted the earnest money of Rs. 7,80,880/- deposited towards security. Note 1 at the foot of the letter dated 24.04.2017 in so far as it is relevant reads as under:-
“1.
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