ORDER

1. The petitioner has filed the present petition challenging the validity of the order dated 11.12.2020 passed by Deputy General Manager HPCL whereby the petitioner has been blacklisted with forfeiture of security amount of Rs. 8 lacs.

2. Petitioner is a proprietorship concern having its registered office at Mhow Neemuch Road, Pipliamandi and engaged in the business of providing Tank Trucks (TT) to Oil Companies.

3. Respondent No.1 is a Government of Indian Enterprises comes within the meaning of State under Article 12 of the Constitution of India, hence amenable to the writ jurisdiction. Respondent No.2 is a Deputy General Manager, who has passed the impugned order on behalf of respondent No.1.

4. On 5.7.2017, an NIT was published for engaging Truck Tankers for the work of road transportation of bulk white oil petroleum products like Motor Spirit, High-Speed Diesel or Branded Fuels from IOC Bangrod IRD to various retailers located within the State of Madhya Pradesh or outside. The petitioner submitted a bid and the same was accepted being the highest among other bidders. Thereafter letter of acceptance was issued on 12.12.2017 with the direction to complete the formalities of the contract within 15 days. The petitioner deposited security of Rs. 8 lacs in the form of a bank guarantee on 28.8.2018.

5. In pursuant to the work order, the petitioner provided two Tank Trucks out of eight. According to the petitioner, four Tank Trucks could not be released on time from contractual obligation from Indian Oil Corporation, therefore, offered in writing to the respondents to permit him to provide another four new Tank Trucks to fulfil its obligation under the agreement. The respondents did not give any reply to the aforesaid letter. Petitioner sent another letter dated 3.9.2019 that four trucks have yet not been released from Indian Oil Corporation, hence, willing to provide brand new Tank Trucks 12 KL and 20 KL capacity within 90 days but no response was given by the respondent. The petitioner has presumed that the providing of an additional Tank Trucks have been done away with by implied consent by the respondent.

6. Respondent No.2 sent a show-cause notice to the petitioner alleging that as per the agreement you have agreed to ply 8 Tank Trucks regularly for loading at HPCL- Gangrod depot to transport petroleum products to the retail outlets as per terms and conditions of the agreement dated 30.12.2017 which is valid up to 31.12.2022, since you have failed to provide the agreed quantity of Tank Trucks hence, you have violated the terms and conditions of the agreement dated 30.12.2017, if you failed to submit sufficient cause, it would presume that you have no cause and further action would be initiated against you as per agreement and the Transport Discipline Guidelines.

7. The petitioner did not submit any reply to the show cause notice and again on 2.2.2020 a show-cause notice was issued alleging that non-reporting of all the 8 Tank Trucks is an irregularity as per the Transport Agreement and the same falls under clause No. {8.2.2.2 (d)} of the Oil Industry Transport Discipline Guidelines which attracts the penalty of suspension of three months for the first instance and blacklisting of Tanker Truck on the second instance. The petitioner submitted a letter dated 24.2.2020 seeking permission to provide brand new 3 vehicles of 12 KL and 1 vehicle of 20 KL within 90 days. Since the reply to the show-cause notice submitted by the petitioner was found unsatisfactory, hence, in violations of the provisions of the Bulk Petroleum Products Road Transport Agreement respondents have passed the impugned order dated 11.12.2020.

8. In exercise of power under clause 17 of the transport agreement, the entire Tank Trucks of the petitioner have been blacklisted on an Industry basis followed by termination of contract blacklisting and forfeiture of a security deposit under clause No.8.2.2 TDG, hence, present petition before this Court.

9. Assailment of