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2024 Supreme(Megh) 62

HIGH COURT OF MEGHALAYA
Mr. Justice H. S. Thangkhiew, CJ
M/S RKI INDIA LIMITED – Appellant
Versus
STATE OF MEGHALAYA AND 5 ORS. – Respondent


Advocates:
Ms. Liz Mathew, Sr. Adv. with Ms. B. Vennemalai, Adv., Mr. S. Deb, Adv. for the Petitioner(s); Mr. A.S. Pandey, Adv., Ms. R. Colney, GA for the Respondent(s)

JUDGMENT AND ORDER :

H.S.THANGKHIEW, ACJ.

1. The petitioner company on being the successful bidder in a tender floated by the respondent No. 2, for the work titled ‘East Garo Hills Circle-Distribution System Improvement: 33/11 KV Sub-station Development’, was issued the Letter of Allotment (LoA) and a contract agreement, was duly executed on 21.12.2020, between the respondent No. 2 and the petitioner, for the said work amounting to Rs. 74,34,56,822/- with the completion time for the said works being 18 months from the effective date of commission.

2. It appears that though the contract was scheduled to be completed in November, 2022, taking the effective date of contract to have commenced from 29.05.2021, the work was delayed due to various reasons which the petitioner company maintained was due to circumstances beyond its control. On 02.05.2023, a show cause notice was issued by the respondent No. 4, directing the petitioner to answer as to why the contract should not be terminated failing which clause 42.2 of the conditions of contract would be invoked. The petitioner replied to the said show cause assuring the respondents that the project would be completed by December, 2023. There

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